LONG-TERM INVESTMENTS (Tables)

12 Months Ended

Dec. 31, 2024

Equity method investments consisted of the following:

	December 31, 2024			December 31, 2023
Hangzhou Entropy Yu Equity Investment Partnership (Limited Partnership) (“Entropy Yu”) ⁽¹⁾	$	2,068,951		$	2,127,062
Hangzhou Hezhe Energy Technology Co., Ltd. (“Hangzhou Hezhe”) ⁽²⁾		-			407,778
Able 2rent GmbH (DEU) ⁽³⁾		89,533			89,432
Total equity method investment, net		2,158,484			2,624,272
Less: equity method investment, net, held for discontinued operations		(89,533	)		(89,432	)
Equity method investment, net, held for continuing operations	$	2,068,951		$	2,534,840

(1)

On September 25, 2022, the Company invested RMB15,400,000(approximately $2,169,045) in Entropy Yu to acquire 99.355% of the partnership entity's equity interest. The Company accounts for the investment under the equity method because the Company controls 50% of voting interests in partnership matters and material matters must be agreed upon by all partners. For the years ended December 31, 2024 and 2023, the Company recognized investment loss of $4 and investment gain of $4, based on its proportionate share of equity interest.

(2)

On June 23, 2021, the Company invested RMB2,000,000 (approximately $273,999) in Hangzhou Hezhe to acquire 20% of its equity interest. On January 24, 2024, the Company received dividend of RMB400,000 (approximately $55,573). On May 8, 2024, the Company entered an agreement to acquire 60% of Hangzhou Hezhe’s equity interest, with the consideration of RMB3,704,307 (approximately $511,638). As of December 31, 2024, Hangzhou Hezhe became a subsidiary of the Company.

(3)	For the years ended December 31, 2024 and 2023, the Company recognized investment gain of $6,114 and investment loss of $7,998, respectively, based on its proportionate share of equity interest.

Equity Investment without Readily Determinable Fair Value

(b)	Equity investment without readily determinable fair values, net

Equity investments without readily determinable fair values, net consisted of the following:

	December 31, 2024		December 31, 2023
HW Electro Co., Ltd. ₍₁₎	$	1,000,000	$	1,000,000
Robostreet Inc. ₍₂₎		-		450,000
Total equity investment without readily determinable fair values, net		1,000,000		1,450,000
Less: equity investment without readily determinable fair values, net, held for discontinued operations		-		-
Equity investment without readily determinable fair values, net, held for continuing operations	$	1,000,000	$	1,450,000

(1)

On January 31, 2023, the Company entered into a debt convention agreement with HW Electro Co., Ltd., to convert the loan principal of $1,000,000 into HW Electro Co., Ltd.’s shares. The Company is holding 1,143,860 shares of HW Electro Co., Ltd.’s for a total of 3.00% of its equity interest as of December 31, 2024.

(2)

On July 12, 2023, the Company entered into a share sale and purchase agreement with Robostreet Inc., to acquire 176 shares of Robostreet Inc.’s for a total of 14.97% of its equity interest with a consideration of cash of $200,000 and three models of programmable smart chassis for an aggregate value of $250,000. On August 5, 2024, the two parties entered into an amendment to share sale and purchase agreement, by revising the total purchase consideration to a cash payment of $200,000 only, which is 78 shares for a total of 7.24% of its equity interest. As of December 31, 2024, the Company recognized impairment of $200,000 of this investment.