INTANGIBLE ASSETS

12 Months Ended

Aug. 31, 2018

Notes to Financial Statements

INTANGIBLE ASSETS

As of August 31, 2018, and August 31, 2017, the balance of intangible assets are as follows;

	August 31, 2018			August 31, 2017
Patent		500,000			500,000
Intellectual property: Aura		200,000			—
Intellectual property: Kryptokiosk		72,000			—
Total cost		772,000			500,000
Accumulated amortization		(131,000	)		(25,000)
Intangible asset, net	$	641,000		$	475,000

Amortization expenses for the years ended August 31, 2018 and 2017, was $106,000 and $25,000, respectively.

During the year ended August 31, 2017, the Company purchased the copyright and all other rights in a film named “Gong Fu Nv Pai” for $138,240 cash from a non-related party which is included in discontinued operation. During the year ended August 31, 2018, the Company sold the copyright and all other rights and the mobile application (Amoney) assets to an unrelated party for $253,000 (Note 6).

On March 10, 2018, the Company acquired intellectual property from Aura Blocks Ltd. for $200,000.

On March 21, 2018, the Company acquired all the intangible assets held by KryptoKiosk Limited, a Hong Kong company (“Krypto”). In consideration for the acquisition of the shares, the Company paid the seller 2,400,000 shares, at market value of $72,000.

On June 1, 2017, the Company entered into patent license agreement with a related party. The agreement shall be for a term of 5 years commencing on the effective date and the Company shall pay the licensor a non-refundable, up-from payment of $500,000 and a royalty of 20% of the gross revenue realized from it sale of licensed products and sub-licensing of others under the agreement. During the year ended August 31, 2017, the Company has paid $361,760 and $138,240 was recorded as accounts payable. On October 10, 2017, the Company fully paid $138,240.