10-Q

UNITED STATES

SECURITIES AND EXCHANGE COMMISSION

Washington, D.C. 20549

FORM 10-Q

[X] QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934

For the quarterly period ended March 31, 2021

or

[  ] TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934

For the transition period from __________to _________

001-39732

Commission File Number

Alset EHome International Inc.

(Exact name of registrant as specified in its charter)

NEVADA	83-1079861
State or other jurisdiction of incorporation or organization	(I.R.S. Employer Identification No.)

4800 Montgomery Lane, Suite 210, Bethesda, Maryland	20814
(Address of principal executive offices)	(Zip Code)

301-971-3940

Registrant’s telephone number, including area code

Securities registered pursuant to Section 12(b) of the Act:

Title of Each Class	Trading Symbol(s)	Name of Each Exchange on Which Registered
Common Stock, $0.001 par value	AEI	The Nasdaq Stock Market LLC

Indicate by check mark whether the registrant (1) has filed all reports required to be filed by Section 13 or 15(d) of the Securities Exchange Act of 1934 during the preceding 12 months (or for such shorter period that the registrant was required to file such reports), and (2) has been subject to such filing requirements for the past 90 days. Yes [X] No [  ]

Indicate by check mark whether the registrant has submitted electronically every Interactive Data File required to be submitted pursuant to Rule 405 of Regulation S-T (§232.405 of this chapter) during the preceding 12 months (or for such shorter period that the registrant was required to submit such files). Yes [X] No [  ]

Indicate by check mark whether the registrant is a large accelerated filer, an accelerated filer, a non-accelerated filer, a smaller reporting company, or an emerging growth company. See the definitions of “large accelerated filer,” “accelerated filer”, “smaller reporting company” and “emerging growth company” in Rule 12b-2 of the Exchange Act.

Large accelerated filer	[  ]	Accelerated filer	[  ]
Non-accelerated filer	[X]	Smaller reporting company	[X]
		Emerging growth company	[X]

If an emerging growth company, indicate by check mark if the registrant has elected not to use the extended transition period for complying with any new or revised financial accounting standards provided pursuant to Section 13(a) of the Exchange Act. [  ]

Indicate by check mark whether the registrant is a shell company (as defined in Rule 12b-2 of the Exchange Act). Yes [  ] No [X]

As of May 24, 2021, there were 8,511,637 shares of the registrant’s common stock $0.001 par value per share, issued and outstanding.

Table of Contents

PART I FINANCIAL INFORMATION	F-1
Item 1. Consolidated Financial Statements (Unaudited)
Consolidated Balance Sheets – March 31, 2021 and December 31, 2020	F-1
Consolidated Statements of Operations and Other Comprehensive Income (Loss) - Three Months Ended March 31, 2021 and 2020	F-2
Consolidated Statements of Stockholders’ Equity – Three Months Ended March 31, 2021 and 2020	F-3
Consolidated Statements of Cash Flows – Three Months Ended March 31, 2021 and 2020	F-4
Notes to Consolidated Financial Statements	F-5 – F-33
Item 2. Management’s Discussion and Analysis of Financial Condition and Results of Operations	2
Item 3. Quantitative and Qualitative Disclosure About Market Risk	7
Item 4. Controls and Procedures	7
PART II OTHER INFORMATION	7
Item 1. Legal Proceedings	7
Item 1A. Risk Factors	7
Item 2. Unregistered Sales of Equity Securities and Use of Proceeds	7
Item 3. Defaults Upon Senior Securities	7
Item 4. Mine Safety Disclosures	7
Item 5. Other Information	8
Item 6. Exhibits	8
SIGNATURES	10

Part I. Financial Information

Alset EHome International Inc. and Subsidiaries

Consolidated Balance Sheets

(Unaudited)

	March 31, 2021			December 31, 2020
					(As Combined)
Assets:
Current Assets:
Cash	$	20,368,692		$	24,465,923
Restricted Cash		8,636,391			6,769,533
Account Receivables, Net		1,062,278			1,366,194
Other Receivables		687,120			644,576
Note Receivables - Related Parties		669,561			649,569
Prepaid Expenses		2,894,258			1,470,680
Inventory		8,956			90,068
Investment in Securities at Fair Value		52,164,652			49,172,457
Investment in Securities at Cost		99,997			280,516
Deposits		25,528			47,019
Total Current Assets		86,617,433			84,956,535
Real Estate
Rental Properties		2,161,680			-
Properties under Development		18,104,033			20,505,591
Operating Lease Right-Of-Use Asset		722,507			574,754
Deposit		271,167			249,676
Loan Receivable - Related Parties		840,000			840,000
Property and Equipment, Net		81,169			85,365
Total Assets	$	108,797,989		$	107,211,921
Liabilities and Stockholders’ Equity:
Current Liabilities:
Accounts Payable and Accrued Expenses	$	2,388,448		$	1,670,320
Accrued Interest - Related Parties		41,239			-
Deferred Revenue		3,430,893			2,867,226
Builder Deposits		928,565			1,262,336
Operating Lease Liability		51,686			381,412
Notes Payable		238,935			172,706
Notes Payable - Related Parties		14,837,252			2,350,031
Total Current Liabilities		21,917,018			8,704,031
Long-Term Liabilities:
Operating Lease Liability		684,875			193,342
Note Payable, Net of Discount		651,034			636,362
Total Liabilities		23,252,927			9,533,735
Stockholders’ Equity:
Preferred Stock, $0.001 par value; 5,000,000 shares authorized, none issued and outstanding
Common Stock, $0.001 par value; 20,000,000 shares authorized; 8,580,000 and 8,570,000 shares issued and outstanding on March 31, 2021 and December 31, 2020, respectively		8,580			8,570
Additional Paid In Capital		101,799,367			102,339,666
Accumulated Other Comprehensive Income		1,092,609			2,143,338
Accumulated Deficit		(51,029,349	)		(44,793,713	)
Total Alset EHome International Stockholders’ Equity		51,871,207			59,697,861
Non-controlling Interests		33,673,855			37,980,325
Total Stockholders’ Equity		85,545,062			97,678,186
Total Liabilities and Stockholders’ Equity	$	108,797,989		$	107,211,921

See accompanying notes to consolidated unaudited financial statements.

F-1

Alset EHome International Inc. and Subsidiaries

Consolidated Statements of Operations and Other Comprehensive Income (Loss)

For the Three Months Ended March 31, 2021 and 2020

(Unaudited)

	2021			2020
Revenue					(As Combined)
Property Sales	$	3,894,131		$	2,954,389
Biohealth Product Sales		1,712,783			10,782
Total Revenue		5,606,914			2,965,171
Operating Expenses
Cost of Sales		3,697,854			2,383,703
General and Administrative		2,312,505			1,001,850
Inventory Written Off		-			2,009
Total Operating Expenses		6,010,359			3,387,562
Operating Losses From Operations		(403,445	)		(422,391	)
Other Income (Expense)
Interest Income		30,632			19,415
Interest Expense		(53,582	)		(60,931	)
Foreign Exchange Transaction Gain		1,462,697			2,260,482
Unrealized (Loss) Gain on Securities Investment		(9,535,009	)		458,422
Realized Loss on Securities Investment		(258,245	)		-
Loss on Investment on Security by Equity Method		(24,847	)		-
Finance Costs		(582,868	)		(4,903	)
Other Income		11,256			5,471
Total Other (Expense) Income, Net		(8,949,966	)		2,677,956
Net (Loss) Income Before Income Taxes		(9,353,411	)		2,255,565
Income Tax		(451,337	)		-
Net (Loss) Income		(9,804,748	)		2,255,565
Net (Loss) Income Attributable to Non-Controlling Interest		(3,569,112	)		636,703
Net (Loss) Income Attributable to Common Stockholders	$	(6,235,636	)	$	1,618,862
Other Comprehensive Loss, Net
Unrealized Loss on Securities Investment		(1,987	)		(12,599	)
Foreign Currency Translation Adjustment		(1,769,440	)		(1,674,021	)
Comprehensive (Loss) Income		(11,576,175	)		568,945
Comprehensive (Loss) Income Attributable to Non-controlling Interests		(4,328,924	)		53,133
Comprehensive (Loss) Income Attributable to Common Stockholders	$	(7,247,251	)	$	515,812
Net (Loss) Income Per Share - Basic and Diluted	$	(0.73	)	$	0.16
Weighted Average Common Shares Outstanding - Basic and Diluted		8,572,222			10,001,000

See accompanying notes to consolidated unaudited financial statements.

F-2

Alset EHome International Inc. and Subsidiaries

Consolidated Statements of Stockholders’ Equity

For the Three Months Ended March 31, 2021

(Unaudited)

	Preferred Stock				Common Stock				Additional			Accumulated Other						Total Alset EHome International			Non-			Total
	Shares		Par Value $0.001		Shares		Par Value $0.001		Paid in Capital			Comprehensive Income			Accumulated Deficit			Stockholders’ Equity			Controlling Interests			Stockholders’ Equity
Balance at January 1, 2021 (As Combined)						8,570,000	$	8,570	$	102,339,666		$	2,143,338		$	(44,793,713	)	$	59,697,861		$	37,980,325		$	97,678,186
Issuance of Stock for Services		-		-		10,000		10		60,890			-			-			60,900			-			60,900
Transactions under Common Control		-		-		-		-		(57,190,499	)		-			-			(57,190,499	)		-			(57,190,499	)
Sale of Vivacitas to Related Party		-		-		-		-		2,279,872			-			-			2,279,872			-			2,279,872
Purchase Stock of True Partner from Related Party		-		-		-		-		3,274,060			-			-			3,274,060			-			3,274,060
Beneficial Conversion Feature		-		-		-		-		50,770,192			-			-			50,770,192			-			50,770,192
Subsidiary’s Issuance of Stock		-		-		-		-		46,099			-			-			46,099			34,677			80,776
Proceeds from Selling Subsidiary Equity		-		-		-		-		142,675			-			-			142,675			107,325			250,000
Change in Non-Controlling Interest		-		-		-		-		76,412			(39,067	)		-			37,345			(37,345	)		-
Change in Unrealized Gain on Investment		-		-		-		-		-			(1,135	)		-			(1,135	)		(852	)		(1,987	)
Foreign Currency Translations		-		-		-		-		-			(1,010,527	)		-			(1,010,527	)		(758,913	)		(1,769,440	)
Distribution to Non-Controlling Shareholders		-		-		-		-		-			-			-			-			(82,250	)		(82,250	)
Net Loss		-		-		-		-		-			-			(6,235,636	)		(6,235,636	)		(3,569,112	)		(9,804,748	)
Balance at March 31, 2021						8,580,000	$	8,580	$	101,799,367		$	1,092,609		$	(51,029,349	)	$	51,871,207		$	33,673,855		$	85,545,062

Alset EHome International Inc. and Subsidiaries

Consolidated Statements of Stockholders’ Equity

For the Three Months Ended March 31, 2020

(Unaudited)

	Preferred Stock				Common Stock				Additional		Accumulated Other						Total Alset EHome International			Non-			Total
	Shares		Par Value $0.001		Shares		Par Value $0.001		Paid in Capital		Comprehensive Income			Accumulated Deficit			Stockholders’ Equity			Controlling Interests			Stockholders’ Equity
Balance at January 1, 2020 (As Combined)						10,001,000	$	10,001	$	57,924,795	$	1,458,289		$	(41,973,373	)	$	17,419,712		$	7,024,783		$	24,444,495
Subsidiary’s Issuance of Stock		-		-		-		-		1,929,765		-			-			1,929,765			302,726			2,232,491
Proceeds from Selling Subsidiary Equity		-		-		-		-		3,270		-			-			3,270			1,730			5,000
Change in Unrealized Loss on Investment		-		-		-		-		-		(8,240	)		-			(8,240	)		(4,359	)		(12,599	)
Foreign Currency Translations		-		-		-		-		-		(1,094,810	)		-			(1,094,810	)		(579,211	)		(1,674,021	)
Distribution to Non-Controlling Shareholders		-		-		-		-		-		-			-						(197,400	)		(197,400	)
Net Income		-		-		-		-		-		-			1,626,062			1,626,062			629,502			2,255,564
Balance at March 31, 2020 (As Combined)						10,001,000	$	10,001	$	59,857,830	$	355,239		$	(40,347,311	)	$	19,875,760		$	7,177,771		$	27,053,530

See accompanying notes to consolidated unaudited financial statements.

F-3

Alset EHome International Inc. and Subsidiaries

Consolidated Statements of Cash Flows

For the Three Months Ended March 31, 2021 and 2020

(Unaudited)

	2021			2020
					(As Combined)
Cash Flows from Operating Activities
Net Income (Loss) from Operations	$	(9,804,748	)	$	2,255,565
Adjustments to Reconcile Net Income (Loss) to Net Cash Used in Operating Activities:
Depreciation		7,873			5,942
Amortization of Right -Of - Use Asset		81,013			70,671
Amortization of Debt Discount		553,961			-
Shared-based Compensation		134,192			-
Foreign Exchange Transaction Gain		(1,462,697	)		(2,296,128	)
Unrealized Loss (Gain) on Securities Investment		9,548,251			(458,426	)
Loss on Equity Method Investment		24,847			-
Changes in Operating Assets and Liabilities
Real Estate		441,764			15,952
Account Receivables		203,816			342,575
Prepaid Expense		(1,458,620	)		(40,805	)
Trading Securities		(2,452,754	)
Inventory		77,709			(20,590	)
Accounts Payable and Accrued Expenses		596,355			231,421
Accrued Interest - Related Parties		41,239			19,634
Deferred Revenue		563,667			50,270
Operating Lease Liability		(66,954	)		(73,668	)
Builder Deposits		(333,771	)		(285,010	)
Net Cash Used in Operating Activities		(3,304,857	)		(182,597	)
Cash Flows from Investing Activities
Purchase of Fixed Assets		(3,767	)		(1,386	)
Proceeds from Global Opportunity Fund Liquidation		-			303,349
Purchase of Investment Securities		(108,208	)		-
Sales of Investment Securities to Related Party		2,480,000			-
Promissory Note to Related Party		(15,489	)		(200,000	)
Net Cash Provided by Investing Activities		2,352,536			101,963
Cash Flows from Financing Activities
Proceeds from Exercise of Subsidiary Warrants		7,484			-
Proceeds from Sale of Subsidiary Shares		250,000			2,210,491
Borrowing from PPP Loan		68,502			-
Distribution to Non-controlling Interest Shareholders		(82,250	)		(197,400	)
Net Proceeds from (Repayment to) Notes Payable - Related Parties		(1,200,000	)		17,501
Net Cash (Used in) Provided by Financing Activities		(956,264	)		2,030,592
Net Increase in Cash and Restricted Cash		(1,908,585	)		1,949,958
Effects of Foreign Exchange Rates on Cash		(321,788	)		(39,411	)
Cash and Restricted Cash - Beginning of Year		31,235,456			8,039,433
Cash and Restricted Cash- End of Period	$	29,005,083		$	9,949,980
Supplementary Cash Flow Information
Cash Paid for Interest	$	6,627		$	4,181
Cash Paid for Taxes	$	451,410		$	-
Supplemental Disclosure of Non-Cash Investing and Financing Activities
Unrealized Gain on Investment	$	(1,987	)	$	-
Initial Recognition of ROU / Lease Liability	$	256,928		$	-
Acquiring True Partner Stock	$	10,003,689		$	-
Sales of Investment in Vivacitas to Related Party	$	2,279,872		$	-
Transactions under Common Control	$	57,190,499		$	-
Beneficial Conversion Feature	$	(50,770,192	)	$	-

See accompanying notes to consolidated unaudited financial statements.

F-4

1. NATURE OF OPERATIONS AND SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES

Nature of Operations

Alset EHome International Inc. (the “Company” or “AEI”), formerly known as HF Enterprises Inc., was incorporated in the State of Delaware on March 7, 2018 and 1,000 shares of common stock was issued to Chan Heng Fai, the founder, Chairman and Chief Executive Officer of the Company. AEI is a diversified holding company principally engaged in property development, digital transformation technology and biohealth businesses with operations in the United States, Singapore, Hong Kong, Australia and South Korea. The Company manages its principal businesses primarily through its subsidiary, Alset International Limited (“Alset International”, f.k.a. Singapore eDevelopment Limited), a company publicly traded on the Singapore Stock Exchange.

The Company has four operating segments based on the products and services offered. These include our three principal businesses – property development, digital transformation technology and biohealth – as well as a fourth category consisting of certain other business activities.

2. SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES

Basis of Presentation and Principles of Consolidation

The Company’s consolidated financial statements have been prepared in accordance with accounting principles generally accepted in the United States of America (“U.S. GAAP”) and following the requirements of the Securities and Exchange Commission (“SEC”) for interim reporting. These interim financial statements have been prepared on the same basis as the Company’s annual financial statements and, in the opinion of management, reflect all adjustments, consisting only of normal recurring adjustments, which are necessary for a fair statement of the Company’s financial information. These interim results are not necessarily indicative of the results to be expected for the year ending December 31, 2021 or any other interim periods or for any other future years. These unaudited consolidated financial statements should be read in conjunction with the Company’s audited consolidated financial statements and the notes thereto included in the Company’s Form 10-K for the year ended December 31, 2020 filed on April 14, 2021.

The consolidated financial statements include all accounts of the Company and its majority owned and controlled subsidiaries. The Company consolidates entities in which it owns more than 50% of the voting common stock and controls operations. All intercompany transactions and balances among consolidated subsidiaries have been eliminated.

The Company’s consolidated financial statements include the financial position, results of operations and cash flows of the following entities as of March 31, 2021 and December 31, 2020, as follows:

		Attributable interest as of,
Name of subsidiary consolidated under AEI	State or other jurisdiction of incorporation or organization	March 31, 2021			December 31, 2020
			%			%
Hengfai International Pte. Ltd	Singapore		100			100
Hengfai Business Development Pte. Ltd	Singapore		100			100
Heng Fai Enterprises Pte. Ltd.	Singapore		-			100
Global eHealth Limited	Hong Kong		100			100
Alset International Inc. (f.k.a. Singapore eDevelopment Limited)	Singapore		57.1			57.1
Singapore Construction & Development Pte. Ltd.	Singapore		57.1			57.1
Art eStudio Pte. Ltd.	Singapore		29.1	*		29.1	*
Singapore Construction Pte. Ltd.	Singapore		57.1			57.1
Global BioMedical Pte. Ltd.	Singapore		57.1			57.1
Alset Innovation Pte. Ltd. (f.k.a. SeD Investment Pte. Ltd.)	Singapore		57.1			57.1
Health Wealth Happiness Pte. Ltd.	Singapore		57.1			57.1
SeD Capital Pte. Ltd.	Singapore		57.1			57.1
LiquidValue Asset Management Pte. Ltd. (f.k.a. HengFai Asset Management Pte. Ltd.)	Singapore		64.8			46.9	*
SeD Home Limited	Hong Kong		57.1			57.1
SeD Management Pte. Ltd. (f.k.a. SeD Reits Management Pte. Ltd.)	Singapore		57.1			57.1
Global TechFund of Fund Pte. Ltd.	Singapore		57.1			57.1
Singapore eChainLogistic Pte. Ltd.	Singapore		57.1			57.1
BMI Capital Partners International Limited.	Hong Kong		57.1			57.1
SeD Perth Pty. Ltd.	Australia		57.1			57.1
SeD Intelligent Home Inc. (f.k.a SeD Home International, Inc.)	United States of America		57.1			57.1

F-5

LiquidValue Development Inc. (f.k.a. SeD Intelligent Home Inc.)	United States of America	57.1		57.1
Alset EHome Inc. (f.k.a. Alset iHome Inc., SeD Home & REITs Inc. and SeD Home, Inc.)	United States of America	57.1		57.1
SeD USA, LLC	United States of America	57.1		57.1
150 Black Oak GP, Inc.	United States of America	57.1		57.1
SeD Development USA Inc.	United States of America	57.1		57.1
150 CCM Black Oak, Ltd.	United States of America	57.1		57.1
SeD Texas Home, LLC	United States of America	57.1		57.1
SeD Ballenger, LLC	United States of America	57.1		57.1
SeD Maryland Development, LLC	United States of America	47.7	*	47.8	*
SeD Development Management, LLC	United States of America	48.5	*	48.6	*
SeD Builder, LLC	United States of America	57.1		57.1
GigWorld Inc. (f.k.a. HotApp Blockchain Inc.)	United States of America	56.9		57.0
HotApp BlockChain Pte. Ltd. (f.k.a. HotApps International Pte. Ltd.)	Singapore	56.9		57.0
HotApp International Limited	Hong Kong	56.9		57.0
HWH International, Inc.	United States of America	57.1		57.1
Health Wealth & Happiness Inc.	United States of America	57.1		57.1
HWH Multi-Strategy Investment, Inc.	United States of America	57.1		57.1
SeDHome Rental Inc	United States of America	57.1		57.1
SeD REIT Inc.	United States of America	57.1		57.1
Gig Stablecoin Inc. (f.k.a. Crypto Exchange Inc.)	United States of America	56.9		57.0
HWH World Inc.	United States of America	56.9		57.0
HWH World Pte. Ltd.	Singapore	56.9		57.0
UBeauty Limited	Hong Kong	57.1		57.1
WeBeauty Korea Inc	Korea	57.1		57.1
HWH World Limited	Hong Kong	57.1		57.1
HWH World Inc.	Korea	57.1		57.1
Alset BioHealth Pte. Ltd.	Singapore	57.1		57.1
Alset Energy Pte. Ltd.	Singapore	57.1		57.1
Alset Payment Inc.	United States of America	57.1		57.1
Alset World Pte. Ltd.	Singapore	57.1		57.1
BioHealth Water Inc.	United States of America	57.1		57.1
Impact BioHealth Pte. Ltd.	Singapore	57.1		57.1
American Home REIT Inc.	United States of America	64.8		46.9	*
Alset Solar Inc.	United States of America	45.7	*	45.7	*
HWH KOR Inc.	United States of America	57.1		57.1
Open House Inc.	United States of America	57.1		57.1
Open Rental Inc.	United States of America	57.1		57.1
Hapi Cafe Inc. (Nevada)	United States of America	57.1		57.1
Global Solar REIT Inc.	United States of America	57.1		57.1
OpenBiz Inc.	United States of America	57.1		57.1
Hapi Cafe Inc. (Texas)	United States of America	100		100
HWH (S) Pte. Ltd.	Singapore	57.1		-
American Pacific Bancorp Inc.	United States of America	86.44		-
Hengfeng Finance Limited	Hong Kong	86.44		-
Decentralize Finance Inc.	United States of America	86.44		-
True Partner International Limited	Hong Kong	100		-
LiquidValue Development Pte. Ltd.	Singapore	100		-
LiquidValue Development Limited.	Hong Kong	100		-

*Although the Company indirectly holds percentage of shares of these entities less than 50%, the subsidiaries of the Company directly hold more than 50% of shares of these entities, and therefore, they are still consolidated into the Company.

F-6

Use of Estimates

The preparation of financial statements in conformity with U.S. GAAP requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities and disclosure of contingent assets and liabilities at the dates of the financial statements and the reported amounts of revenues and expenses during the reporting periods. Significant estimates made by management include, but are not limited to, allowance for doubtful accounts, valuation of real estate assets, allocation of development costs and capitalized interest to sold lots, fair value of the investments, the valuation allowance of deferred taxes, and contingencies. Actual results could differ from those estimates.

In our property development business, land acquisition costs are allocated to each lot based on the area method, the size of the lot compared to the total size of all lots in the project. Development costs and capitalized interest are allocated to lots sold based on the total expected development and interest costs of the completed project and allocating a percentage of those costs based on the selling price of the sold lot compared to the expected sales values of all lots in the project.

If allocation of development costs and capitalized interest based on the projection and relative expected sales value is impracticable, those costs could also be allocated based on area method, the size of the lot compared to the total size of all lots in the project.

Transactions between Entities under Common Control

On March 12, 2021, the Company entered into a Securities Purchase Agreement (the “SPA”) with Chan Heng Fai, the founder, Chairman and Chief Executive Officer of the Company, for four proposed transactions, consisting of (i) purchase of certain warrants (the “Warrants”) to purchase 1,500,000,000 shares of Alset International Limited (“Alset International”), which was valued at $28,363,966; (ii) purchase of all of the issued and outstanding stock of LiquidValue Development Pte Ltd. (“LVD”), which was valued at $173,395; (iii) purchase of 62,122,908 ordinary shares in True Partner Capital Holding Limited (HKG: 8657) (“True Partner”), which was valued at $6,729,629; and (iv) purchase of 4,775,523 shares of the common stock of American Pacific Bancorp Inc. (“APB”), which was valued at $28,653,138. The total amount of above four transactions was $63,920,129, payable on the Closing Date by the Company, in the convertible promissory notes (“Alset CPNs”), which, subject to the terms and conditions of the Alset CPNs and the Company’s shareholder approval, shall be convertible into shares of the Company’s common stock (“AEI Common Stock”), par value $0.001 per share, at the conversion price of AEI’s Stock Market Price. AEI’s Stock Market Price shall be $5.59 per share, equivalent to the average of the five closing per share prices of AEI’s Common Stock preceding January 4, 2021 as quoted by Bloomberg L.P. The above four acquisitions from Chan Heng Fai are transactions between entities under common control.

The common control transactions resulted in the following basis of accounting for the financial reporting periods:

● The acquisitions of the Warrants and True Partner stock were accounted for prospectively as of March 12, 2021 and they did not represent a change in reporting entity.

● The acquisitions of LVD and APB were under common control and is consolidated in accordance with ASC 850-50. The consolidated financial statements were retrospectively adjusted for the acquisition of LVD and APB, and the operating results of LVD and APB as of January 1, 2020 for comparative purposes.

AEI stock price was $10.03 on March 12, 2021, the commitment date. The Beneficial Conversion Feature (“BCF”) intrinsic value was $50,770,192 for the four convertible promissory notes and was recorded as debt discount of convertible notes after these transactions. The debt discount attributable to the BCF is amortized over period from issuance to the date that the debt becomes convertible using the effective interest method. If the debt is converted, the discounted is amortized to finance cost in full immediately. As of March 31, 2021, the promissory notes net of debt discount were $13,695,853 and accrued interest was $41,239. During the three months ended on March 31, 2021, the amortized debt discount recorded as finance cost was $545,916.

F-7

Cash and Cash Equivalents

The Company considers all highly liquid investments with a maturity of three months or less at the date of acquisition to be cash equivalents. Cash and cash equivalents include cash on hand and at the bank and short-term deposits with financial institutions that are readily convertible to a known amount of cash and are subject to an insignificant risk of changes in values. There were no cash equivalents as of March 31, 2021 and December 31, 2020.

Restricted Cash

As a condition to the loan agreement with the Manufacturers and Traders Trust Company (“M&T Bank”), the Company is required to maintain a minimum of $2,600,000 in an interest-bearing account maintained by the lender as additional security for the loans. The fund is required to remain as collateral for the loan until the loan is paid off in full and the loan agreement is terminated. The Company also has an escrow account with M&T Bank to deposit a portion of cash proceeds from lot sales. The fund in the escrow account is specifically used for the payment of the loan from M&T Bank. The fund is required to remain in the escrow account for the loan payment until the loan agreement terminates. As of March 31, 2021 and December 31, 2020, the total balance of these two accounts was $8,099,097 and $5,729,067, respectively.

As a condition to the loan agreement with National Australian Bank Limited in conjunction with the Perth project, an Australian real estate development project, the Company is required to maintain Australian Dollar 50,000, in a non-interest-bearing account. As of March 31, 2021 and December 31, 2020, the account balance was $38,043 and $38,550, respectively. These funds will remain as collateral for the loans until paid in full.

The Company puts money into brokerage accounts specifically for equity investment. As of March 31, 2021 and December 31, 2020, the cash balance in these brokerage accounts was $499,251 and $1,001,916, respectively.

Account Receivables and Allowance for Doubtful Accounts

Account receivables is stated at amounts due from buyers, contractors, and all third parties, net of an allowance for doubtful accounts. As of March 31, 2021 and December 31, 2020, the balance of account receivables was $1,062,278 and $1,366,194, respectively. Approximately $0.9 million and $1.3 million of account receivables as of March 31, 2021 and December 31, 2020, respectively, was from DSS with a merchant agreement, under which the Company uses DSS credit card platform to collect money from our direct sales.

The Company monitors its account receivables balances monthly to ensure that they are collectible. On a quarterly basis, the Company uses its historical experience to estimate its allowance for doubtful account receivables. The Company’s allowance for doubtful accounts represents an estimate of the losses expected to be incurred based on specifically identified accounts as well as nonspecific amount, when determined appropriate. Generally, the amount of the allowance is primarily decided by division management’s historical experience, the delinquency trends, the resolution rates, the aging of receivables, the credit quality indicators and financial health of specific customers. As of March 31, 2021 and December 31, 2020, the allowance was $0.

Inventories

Inventories are stated at the lower of cost or net realizable value. Cost is determined using the first-in, first-out method and includes all costs in bringing the inventories to their present location and condition. Net realizable value is the estimated selling price in the ordinary course of business less the estimated costs necessary to make the sale. As of March 31, 2021 and December 31, 2020, inventory consisted of finished goods from HWH World Inc. The Company continuously evaluates the need for reserve for obsolescence and possible price concessions required to write-down inventories to net realizable value.

F-8

Investment Securities

Investment Securities at Fair Value

The Company holds investments in equity securities with readily determinable fair values, equity investments without readily determinable fair values, investments accounted for under the equity method, and investments at cost.

Prior to the adoption of Financial Accounting Standards Board (“FASB”) Accounting Standards Update (“ASU”) 2016-01, Financial Instruments-Overall (Subtopic 825-10): Recognition and Measurement of Financial Assets and Financial Liabilities, investments in equity securities were classified as either 1) available-for-sale securities, stated at fair value, and unrealized holding gains and losses, net of related tax effects, were recorded directly to accumulated other comprehensive income (loss) or 2) trading securities, stated at fair value, and unrealized holding gains and losses, net of related tax benefits, were recorded directly to net income (loss). With the adoption of ASU 2016-01 on January 1, 2018, investments in equity securities are still stated at fair value, quoted by market prices, but all unrealized holding gains and losses are credited or charged to net income (loss) based on fair value measurement as the respective reporting date.

The Company accounts for certain of its investments in equity securities in accordance with ASU 2016-01 Financial Instruments—Overall (Subtopic 825- 10): Recognition and Measurement of Financial Assets and Financial Liabilities (“ASU 2016-01”). In accordance with ASU 2016-01, the Company records all equity investments with readily determinable fair values at fair value calculated by the publicly traded stock price at the close of the reporting period. Amarantus BioScience Holdings (“AMBS”) and Ture Partner Capital Holding Limited (“True Partner”) are publicly traded companies. The Company does not have significant influence over AMBS and True Partner, as the Company is the beneficial owner of approximately 5.4% of the common shares of AMBS and 15.5% of True Partner. The stock’s fair value is determined by quoted stock prices.

The Company has elected the fair value option for the equity securities noted below that would otherwise be accounted for under the equity method of accounting. Holista CollTech Limited (“Holista”), Document Securities Systems Inc. (“DSS”), OptimumBank Holdings, Inc. (“OptimumBank”) and American Premium Water Corp (“APW”) are publicly traded companies and fair value is determined by quoted stock prices. The Company has significant influence but does not have a controlling interest in these investments, and therefore, the Company’s investment could be accounted for under the equity method of accounting or elect fair value accounting.

● The Company has significant influence over DSS. As of March 31, 2021 and December 31, 2020, the Company owned the common stock of DSS and 42,575 shares of preferred stock, which could covert to 6,570,216 common shares, subject to a 19.9% beneficial ownership conversion limitation (a so-called “blocker”) based on the total issued outstanding shares of common stock of DSS beneficially owned by Global BioMedical Pte Ltd (“GBM”), one of our subsidiaries. Our CEO is a Stockholder and the Chairman of the Board of Directors of DSS. Chan Tung Moe, the son of Chan Heng Fai, is also a director of DSS.

● The Company has significant influence over Holista as the Company and its CEO are the beneficial owner of approximately 16.8% of the outstanding shares of Holista and our CEO holds a position on Holista’s Board of Directors.

● The Company has significant influence over OptimumBank. Our CEO is the beneficial owner of approximately 3.9% of the outstanding shares of OptimumBank and holds a position on OptimumBank’s Board of Directors.

● The Company has significant influence over APW as the Company is the beneficial owner of approximately 8.7% of the common shares of APW and one officer from the Company holds a director position on APW’s Board of Directors.

F-9

The Company invested $50,000 in a convertible promissory note of Sharing Services, Inc. (“Sharing Services Convertible Note”), a company quoted on the US OTC market. The value of the convertible note was estimated by management using a Black-Scholes valuation model. The fair value of the note was $64,991 and $66,978 on March 31, 2021 and December 31, 2020, respectively.

On February 26, 2021, the Company invested approximately $88,599 in the convertible note of Vector Com Co., Ltd (“Vector Com”), a private company in South Korea. The interest rate is 2% per annum and maturity is two years. The conversion price is approximately $21.26, per common share of Vector Com. As of March 31, 2021, the Management estimated that the fair value of the note to be $88,599, the initial transaction price.

On March 2, 2020, the Company received warrants to purchase shares of American Medical REIT Inc. (“AMRE”), a related party private startup company, in conjunction with the Company lending a $200,000 promissory note. For further details on this transaction, refer to Note 8 - Related Party Transactions, Note Receivable from a Related Party Company. As of March 31, 2021 and December 31, 2020, AMRE was a private company. Based on management’s analysis, the fair value of the AMRE warrants and the stock option was $0 as of March 31, 2021 and December 31, 2020.

The Company held a stock option to purchase 250,000 shares of Vivacitas common stock at $1 per share at any time prior to the date of a public offering by Vivacitas. As of December 31, 2020, Vivacitas was a private company. Based on management’s analysis, the fair value of the Vivacitas stock option was $0 as of December 31, 2020. On March 18, 2021 the Company sold the subsidiary holding the ownership in Vivacitas to an indirect subsidiary of DSS. For further details on this transaction, refer to Note 9 - Related Party Transactions, Sale of Investment in Vivacitas to DSS.

In the first quarter of 2021, the Company subsidiaries established a portfolio of trading securities. The objective is to generate profits on short-term differences in market prices. During the three months ended March 31, 2021, the Company incurred approximately $4.6 million in purchase of trading securities, received approximately $1.9 million for sale and $285,245 was recognized as realized loss on securities investment.

Investment Securities at Cost

The Company had an equity holding in Vivacitas Oncology Inc. (“Vivacitas”), a private company that is currently not listed on an exchange. Vivacitas was acquired after the adoption of ASU 2016-01. The Company applied ASC 321, Investments – Equity Securities, and elected the measurement alternative for equity investments that do not have readily determinable fair values and do not qualify for the practical expedient in ASC 820 to estimate fair value using the NAV per share. Under the alternative, we measure Vivacitas at cost, less any impairment, plus or minus changes resulting from observable price changes in orderly transactions for an identical or similar investment of the same issuer. Ownership in Vivacitas was sold on March 18, 2021 at the price of $2,480,000 to DSS. The difference of $2,279,872 between the selling price and our original investment cost was recorded as additional paid capital considering a related party transaction. For further details on this transaction, refer to Note 9 – Related Party Transactions.

F-10

On September 8, 2020, the Company acquired 1,666 shares, approximately 1.45% ownership, from Nervotec Pte Ltd (“Nervotec”), a private company, at the purchase price of $37,826. The Company applied ASC 321 and measured Nervotec at cost, less any impairment, plus or minus changes resulting from observable price changes in orderly transactions for an identical or similar investment of the same issuer.

On September 30, 2020, the Company acquired 20,000 shares, approximately 19% ownership, from Hyten Global (Thailand) Co., Ltd (“Hyten”), a private company, at a purchase price of $42,562. Hyten is a direct sales company in Thailand. The Company does not have significant influence over Hyten and applied ASC 321 and measured Hyten at cost, less any impairment, plus or minus changes resulting from observable price changes in orderly transactions for an identical or similar investment of the same issuer.

In the first quarter of 2021, the Company invested $19,609 in K Beauty Research Lab Co., Ltd (“K Beauty”) for 18% ownership. K Beauty was established for sourcing, developing and producing variety of Korea-made beauty products as well as Korea - originated beauty contents for the purpose of distribution to HWH’s membership distribution channel.

There has been no indication of impairment or changes in observable prices via transactions of similar securities and investments are still carried at cost.

Investment Securities under Equity Method Accounting

American Medical REIT Inc.

LiquidValue Asset Management Pte. Ltd. (“LiquidValue”), a subsidiary of the Company owns 36.1% of American Medical REIT Inc. (“AMRE”), a startup REIT company concentrating on medical real estate. AMRE acquires state-of-the-art, purpose-built healthcare facilities and leases them to leading clinical operators with dominant market share under secure triple net leases. AMRE targets hospitals (both Critical Access and Specialty Surgical), Physician Group Practices, Ambulatory Surgical Centers, and other licensed medical treatment facilities. Chan Heng Fai, our CEO, is the executive chairman and director of AMRE. LiquidValue did not invest equity but provided a loan to AMRE (for further details on this transaction, refer to Note 9, Related Party Transactions). On balance sheet, the prorate loss from AMRE was recorded as a liability, accumulated losses on equity method investment. During three months ended March 31, 2021 and 2020, the investment losses from AMRE were $24,847 and $0, respectively. As of March 31, 2021 and December 31, 2020, the accumulated losses on equity method investment were $290,776 and $265,929, respectively.

Real Estate Assets

Real estate assets are recorded at cost, except when real estate assets are acquired that meet the definition of a business combination in accordance with Financial Accounting Standards Board (“FASB”) ASC 805 - “Business Combinations”, which acquired assets are recorded at fair value. Interest, property taxes, insurance and other incremental costs (including salaries) directly related to a project are capitalized during the construction period of major facilities and land improvements. The capitalization period begins when activities to develop the parcel commence and ends when the asset constructed is completed. The capitalized costs are recorded as part of the asset to which they relate and are reduced when lots are sold.

The Company capitalized construction costs of approximately $1.2 million and $2.4 million for the three months ended March 31, 2021 and 2020, respectively.

The Company’s policy is to obtain an independent third-party valuation for each major project in the United States as part of our assessment of identifying potential triggering events for impairment. Management may use the market comparison method to value other relatively small projects, such as the project in Perth, Australia. In addition to the annual assessment of potential triggering events in accordance with ASC 360 – Property Plant and Equipment (“ASC 360”), the Company applies a fair value-based impairment test to the net book value assets on an annual basis and on an interim basis if certain events or circumstances indicate that an impairment loss may have occurred.

F-11

The Company did not record impairment on any of its projects during the three months ended on March 31, 2021 and 2020.

Properties under development

Properties under development are properties being constructed for sale in the ordinary course of business, rather than to be held for the Company’s own use, rental or capital appreciation.

Rental Properties

Rental properties are acquired with the intent to be rented to tenants. On March 15, 2021 Alset EHome, Inc. signed twenty separate Purchase Agreements, to acquire 20 homes in Montgomery County, Texas. On March 31, 2021, the first batch of 10 homes was closed with the purchase cost of $2,161,680. All of these purchased homes are properties of our rental business.

Revenue Recognition and Cost of Sales

ASC 606 - Revenue from Contracts with Customers (“ASC 606”), establishes principles for reporting information about the nature, amount, timing and uncertainty of revenue and cash flows arising from the entity’s contracts to provide goods or services to customers. The Company adopted this new standard on January 1, 2018 under the modified retrospective method. The adoption of this new standard did not have a material effect on our financial statements.

In accordance with ASC 606, revenue is recognized when a customer obtains control of promised goods or services. The amount of revenue recognized reflects the consideration to which the Company expects to be entitled to receive in exchange for these goods or services. The provisions of ASC 606 include a five-step process by which the determination of revenue recognition, depicting the transfer of goods or services to customers in amounts reflecting the payment to which the Company expects to be entitled in exchange for those goods or services. ASC 606 requires the Company to apply the following steps:

(1) identify the contract with the customer; (2) identify the performance obligations in the contract; (3) determine the transaction price; (4) allocate the transaction price to the performance obligations in the contract; and (5) recognize revenue when, or as, performance obligations are satisfied.

F-12

The following represents the Company’s revenue recognition policies by Segments:

Property Development

Property Sales

The Company’s main business is land development. The Company purchases land and develops it for building into residential communities. The developed lots are sold to builders (customers) for the construction of new homes. The builders enter a sales contract with the Company before they take the lots. The prices and timeline are determined and agreed upon in the contract. The builders do the inspections to make sure all conditions and requirements in contracts are met before purchasing the lots. A detailed breakdown of the five-step process for the revenue recognition of the Ballenger and Black Oak projects, which represented approximately 69% and 100%, respectively, of the Company’s revenue in the three months ended on March 31, 2021 and 2020, is as follows:

● Identify the contract with a customer.

The Company has signed agreements with the builders for developing the raw land to ready to build lots. The contract has agreed upon prices, timelines, and specifications for what is to be provided.

● Identify the performance obligations in the contract.

Performance obligations of the Company include delivering developed lots to the customer, which are required to meet certain specifications that are outlined in the contract. The customer inspects all lots prior to accepting title to ensure all specifications are met.

● Determine the transaction price.

The transaction price per lot is fixed and specified in the contract. Any subsequent change orders or price changes are required to be approved by both parties.

● Allocate the transaction price to performance obligations in the contract.

Each lot or a group of lots is considered to be a separate performance obligation, for which the specified price in the contract is allocated to.

● Recognize revenue when (or as) the entity satisfies a performance obligation.

The builders do the inspections to make sure all conditions/requirements are met before taking title of lots. The Company recognizes revenue at a point in time when title is transferred. The Company does not have further performance obligations or continuing involvement once title is transferred.

Sale of the Front Foot Benefit Assessments

We have established a front foot benefit (“FFB”) assessment on all of the NVR lots. This is a 30-year annual assessment allowed in Frederick County which requires homeowners to reimburse the developer for the costs of installing public water and sewer to the lots. These assessments become effective as homes are settled, at which time we can sell the collection rights to investors who will pay an upfront lump sum, enabling us to realize the revenue more quickly. The selling prices range from $3,000 to $4,500 per home depending on the type of the home. Our total revenue from the front foot benefit assessment is approximately $1 million. To recognize revenue of FFB assessment, both our and NVR’s performance obligation must be satisfied. Our performance obligation is completed once we complete the construction of water and sewer facility and close the lot sales with NVR, which inspects these water and sewer facility prior to close lot sales to ensure all specifications are met. NVR’s performance obligation is to sell homes they build to homeowners. Our FFB revenue is recognized on quarterly basis after NVR closes sales of homes to homeowners. The agreement with these FFB investors is not subject to amendment by regulatory agencies and thus our revenue from FFB assessment is not either. During the three months ended on March 31, 2021 and 2020, we recognized revenue $107,071 and $40,322 from FFB assessment, respectively.

F-13

Cost of Sales

Land acquisition costs are allocated to each lot based on the area method, the size of the lot comparing to the total size of all lots in the project. Development costs and capitalized interest are allocated to lots sold based on the total expected development and interest costs of the completed project and allocating a percentage of those costs based on the selling price of the sold lot compared to the expected sales values of all lots in the project.

If allocation of development costs and capitalized interest based on the projection and relative expected sales value is impracticable, those costs could also be allocated based on area method, the size of the lot comparing to the total size of all lots in the project.

Biohealth

Product Direct Sales

The Company’s net sales consist of product sales. The Company’s performance obligation is to transfer its products to its third-party independent distributors (“Distributors”). The Company generally recognizes revenue when product is shipped to its Distributors.

The Company’s Distributors may receive distributor allowances, which are comprised of discounts, rebates and wholesale commission payments from the Company. Distributor allowances resulting from the Company’s sales of its products to its Distributors are recorded against net sales because the distributor allowances represent discounts from the suggested retail price.

In addition to distributor allowances, the Company compensates its sales leader Distributors with leadership incentives for services rendered, relating to the development, retention, and management of their sales organizations. Leadership incentives are payable based on achieved sales volume, which are recorded in general and administrative expenses. The Company recognizes revenue when it ships products. The Company receives the net sales price in cash or through credit card payments at the point of sale.

If a Distributor returns a product to the Company on a timely basis, he/she may obtain a replacement product from the Company for such returned products. In addition, the Company maintains a buyback program pursuant to which it will repurchase products sold to a Distributor who has decided to leave the business. Allowances for product returns, primarily in connection with the Company’s buyback program, are provided at the time the sale is recorded. This accrual is based upon historical return rates for each country and the relevant return pattern, which reflects anticipated returns to be received over a period of up to 12 months following the original sale.

Annual Membership

The Company collects an annual membership fee from its Distributors. The fee is fixed, paid in full at the time of joining the membership and non-refundable. The membership provides the member access to purchase products at a discount, use to certain back-office services, receive commissions for signing up new members, and attend corporate events. The Company recognizes revenue associated with the membership over the period of the membership. Before the membership fee is recognized as revenue, it is recorded as deferred revenue. Deferred revenue relating to membership was $3,430,893 and $2,867,226 at March 31, 2021 and December 31, 2020, respectively.

F-14

Other Businesses

Remaining performance obligations

As of March 31, 2021 and December 31, 2020, there were no remaining performance obligations or continuing involvement, as all service obligations within the other business activities segment have been completed.

Foreign currency

Functional and reporting currency

Items included in the financial statements of each entity in the Company are measured using the currency of the primary economic environment in which the entity operates (“functional currency”). The financial statements of the Company are presented in U.S. dollars (the “reporting currency”).

The functional and reporting currency of the Company is the United States dollar (“U.S. dollar”). The financial records of the Company’s subsidiaries located in Singapore, Hong Kong, Australia and South Korea are maintained in their local currencies, the Singapore Dollar (S$), Hong Kong Dollar (HK$), Australian Dollar (“AUD”) and South Korean Won (“KRW”), which are also the functional currencies of these entities.

Transactions in foreign currencies

Transactions in currencies other than the functional currency during the periods are converted into functional currency at the applicable rates of exchange prevailing when the transactions occurred. Transaction gains and losses are recognized in the statement of operations.

The majority of the Company’s foreign currency transaction gains or losses come from the effects of foreign exchange rate changes on the intercompany loans between Singapore entities and U.S. entities. The Company recorded foreign exchange gain of $1,462,697 and $2,260,482 during the three months ended on March 31, 2021 and 2020, respectively. The foreign currency transactional gains and losses are recorded in operations.

Translation of consolidated entities’ financial statements

Monetary assets and liabilities denominated in currencies other than the functional currency are translated into the functional currency at the rates of exchange ruling at the balance sheet date. The Company’s entities with functional currency of Singapore Dollar, Hong Kong Dollar, AUD and KRW, translate their operating results and financial positions into the U.S. dollar, the Company’s reporting currency. Assets and liabilities are translated using the exchange rates in effect on the balance sheet date. Revenue, expense, gains and losses are translated using the average rate for the year. Translation adjustments are reported as cumulative translation adjustments and are shown as a separate component of comprehensive income (loss).

For the three months ended on March 31, 2021, the Company recorded other comprehensive loss from foreign currency translation of $1,769,440 and a $1,674,021 loss in the three months ended March 31, 2020, in accumulated other comprehensive loss.

F-15

Non-controlling interests

Non-controlling interests represent the equity in subsidiary not attributable, directly or indirectly, to owners of the Company, and are presented separately in the consolidated statements of operation and comprehensive income, and within equity in the Consolidated Balance Sheets, separately from equity attributable to owners of the Company.

On March 31, 2021 and December 31, 2020, the aggregate non-controlling interests in the Company were $33,673,855 and $37,980,325, respectively.

Capitalized Financing Costs

Financing costs, such as loan origination fee, administration fee, interests and other related financing costs, should be capitalized and recorded on the balance sheet if these financing activities are directly associated with the development of real estates.

Capitalized Financing Costs are allocated to lots sold based on the total expected development and interest costs of the completed project and allocating a percentage of those costs based on the selling price of the sold lot compared to the expected sales values of all lots in the project. If the allocation of capitalized financing costs based on the projection and relative expected sales value is impracticable, those costs could also be allocated based on an area method, which uses the size of the lots compared to the total project area and allocates costs based on their size.

As of March 31, 2021 and December 31, 2020, the capitalized financing costs were $3,348,112 and $3,513,535, respectively.

Beneficial Conversion Features

The Company evaluates the conversion feature for whether it was beneficial as described in ASC 470-30. The intrinsic value of a beneficial conversion feature inherent to a convertible note payable, which is not bifurcated and accounted for separately from the convertible note payable and may not be settled in cash upon conversion, is treated as a discount to the convertible note payable. This discount is amortized over the period from the date of issuance to the date the note is due using the effective interest method. If the note payable is retired prior to the end of its contractual term, the unamortized discount is expensed in the period of retirement to interest expense. In general, the beneficial conversion feature is measured by comparing the effective conversion price, after considering the relative fair value of detachable instruments included in the financing transaction, if any, to the fair value of the shares of common stock at the commitment date to be received upon conversion.

Recent Accounting Pronouncements

Accounting pronouncement not yet adopted

In June 2016, the FASB issued ASU No. 2016-13, “Financial Instruments - Credit Losses (Topic 326): Measurement of Credit Losses on Financial Instruments” (“ASU 2016-13”). ASU 2016-13 requires financial assets measured at amortized cost to be presented at the net amount expected to be collected. The measurement of expected credit losses is based on relevant information about past events, including historical experience, current conditions, and reasonable and supportable forecasts that affect the collectability of the reported amounts. An entity must use judgment in determining the relevant information and estimation methods that are appropriate in its circumstances. ASU 2016-13 is effective for annual reporting periods beginning after December 15, 2019, including interim periods within those fiscal years, and a modified retrospective approach is required, with a cumulative-effect adjustment to retained earnings as of the beginning of the first reporting period in which the guidance is effective. In November of 2019, the FASB issued ASU 2019-10, which delayed the implementation of ASU 2016-13 to fiscal years beginning after December 15, 2022 for smaller reporting companies. The Company is currently evaluating the impact of ASU 2016-13 on its future consolidated financial statements.

In March 2020, the FASB issued ASU 2020-04, Reference Rate Reform (Topic 848): Facilitation of Reference Rate Reform on Financial Reporting. The amendments in this Update provide optional expedients and exceptions for applying generally accepted accounting principles (GAAP) to contracts, hedging relationships, and other transactions affected by reference rate reform if certain criteria are met. The amendments in this Update apply only to contracts, hedging relationships, and other transactions that reference LIBOR or another reference rate expected to be discontinued because of reference rate reform. The Company’s line of credit agreement provides procedures for determining a replacement or alternative rate in the event that LIBOR is unavailable. The amendments in this Update are effective for all entities as of March 12, 2020 through December 31, 2022. The Company is currently evaluating the impact of ASU 2020-04 on its future consolidated financial statements.

F-16

3. CONCENTRATIONS

The Company maintains cash balances at various financial institutions in different countries. These balances are usually secured by the central banks’ insurance companies. At times, these balances may exceed the insurance limits. As of March 31, 2021 and December 31, 2020, uninsured cash and restricted cash balances were $26,238,531 and $25,752,637, respectively.

For the three months ended March 31, 2021, two customers accounted for approximately 97%, and 3% of the Company’s property and development revenue. For the three months ended March 31, 2020, two customers accounted for approximately 99%, and 1% of the Company’s property and development revenue.

4. SEGMENTS

Operating segments are defined as components of an enterprise about which separate financial information is available that is evaluated regularly by the chief operating decision maker, or decision–making group, in deciding how to allocate resources and in assessing performance. The Company’s chief operating decision-maker is the CEO. The Company operates in and reports four business segments: property development, digital transformation technology, biohealth, and other business activities. The Company’s reportable segments are determined based on the services they perform and the products they sell, not on the geographic area in which they operate. The Company’s chief operating decision maker evaluates segment performance based on segment revenue. Costs excluded from segment income (loss) before taxes and reported as “Other” consist of corporate general and administrative activities which are not allocable to the four reportable segments.

The following table summarizes the Company’s segment information for the following balance sheet dates presented, and for the three months ended March 31, 2021 and 2020:

	Property Development			Digital Transformation Technology			Biohealth Business			Other			Total
Three Months Ended March 31, 2021
Revenue	$	3,894,131		$	-		$	1,712,783		$	-		$	5,606,914
Cost of Sales		(3,614,832	)		-			(83,022	)		-			(3,697,854	)
Gross Margin		279,299			-			1,629,761			-			1,909,060
Operating Expenses		(359,489	)		(30,128	)		(846,480	)		(1,076,408	)		(2,312,505	)
Operating Income (Loss)		(80,190	)		(30,128	)		783,281			(1,076,408	)		(403,445	)
Other Income (Expense)		(9,873	)		(36,471	)		(8,371,117	)		(532,505	)		(8,949,966	)
Net Income (Loss) Before Income Tax		(90,063	)		(66,599	)		(7,587,836	)		(1,608,913	)		(9,353,411	)

	Property Development			Digital Transformation Technology			Biohealth Business			Other			Total
Three Months ended March 31, 2020
Revenue	$	2,954,389		$	-		$	10,782		$	-		$	2,965,171
Cost of Sales		(2,380,820	)		-			(2,883	)		-			(2,383,703	)
Gross Margin		573,569			-			7,899			-			581,468
Operating Expenses		(277,056	)		(18,228	)		(132,791	)		(575,784	)		(1,003,859	)
Operating Income (Loss)		296,513			(18,228	)		(124,892	)		(575,784	)		(422,391	)
Other Income (Expense)		7,539			(92,477	)		193			2,762,701			2,677,956
Net Income (Loss) Before Income Tax		304,052			(110,705	)		(124,699	)		2,186,917			2,255,565
March 31, 2021
Cash and Restricted Cash	$	9,842,218		$	154,738		$	3,251,622		$	15,756,505		$	29,005,083
Total Assets		30,877,470			154,840			43,241,793			34,523,886			108,797,989
December 31, 2020
Cash and Restricted Cash	$	8,150,769		$	158,058		$	1,590,265		$	21,336,364		$	31,235,456
Total Assets		28,954,484			158,160			524,603			77,574,674			107,211,921

F-17

5. BUSINESS UNDER COMMON CONTROL

Due to the transactions with Chan Heng Fai on March 12, 2021, transactions between entities under common control (for further details on these transactions, refer to Note 2 – Summary of Significant Accounting Policies), the Company has disclosed the Consolidated Statement of Operations and Other Comprehensive Income for the Three Months Ended on March 31, 2020 and Consolidated Balance Sheet as of December 31, 2020, to adjust the information on a consolidated basis as follows:

Consolidated Statement of Operations and Other Comprehensive Income for the Three Months Ended on March 31, 2020

	As Previously Reported			Acquisition of APB under Common Control			Acquisition of LVD Ltd under Common Control			As Combined
Revenue
Property Sales	$	2,954,389		$	-		$	-		$	2,954,389
Biohealth Product Sales		10,782			-			-			10,782
		2,965,171			-			-			2,965,171
Operating Expenses
Cost of Sales		2,383,703			-			-			2,383,703
General and Administrative		920,124			81,226			500			1,001,850
Research and Development		2,009			-			-			2,009
Total Operating Expenses		3,305,836			81,226			500			3,387,562
Loss From Operations		(340,665	)		(81,226	)		(500	)		(422,391	)
Other Income (Expense)
Interest Income		7,810			11,580			25			19,415
Interest Expense		(60,931	)		-			-			(60,931	)
Foreign Exchange Transaction Gain (Loss)		2,118,952			-			141,530			2,260,482
Unrealized Gain (Loss) on Securities Investment		484,362			(26,034	)		94			458,422
Finance Costs		-			(4,890	)		(13	)		(4,903	)
Other Income		5,471			-			-			5,471
Total Other Income (Expense), Net		2,555,664			(19,344	)		141,636			2,677,956
Net Income (Loss) Before Income Taxes		2,214,999			(100,570	)		141,136			2,255,565
Income Tax		-			-			-			-
Net Income (Loss)		2,214,999			(100,570	)		141,136			2,255,565
Net Income (Loss) Attributable to Non-Controlling Interest		643,139			(6,436	)		-			636,703
Net Income (Loss) Attributable to Common Stockholders	$	1,571,860		$	(94,134	)	$	141,136		$	1,618,862
Other Comprehensive Loss, Net
Unrealized Loss on Securities Investment		(12,599	)		-			-			(12,599	)
Foreign Currency Translation Adjustment		(1,674,021	)		-			-			(1,674,021	)
Comprehensive Income (Loss)		528,379			(100,570	)		141,136			568,945
Comprehensive Income (Loss) Attributable to Non-controlling Interests		59,569			(6,436	)		-			53,133
Comprehensive Income (Loss) Attributable to Common Stockholders	$	468,810		$	(94,134	)	$	141,136		$	515,812
Net Income Per Share - Basic and Diluted	$	0.16								$	0.16
Weighted Average Common Shares Outstanding - Basic and Diluted		10,001,000									10,001,000

F-18

Consolidated Balance Sheet as of December 31, 2020

	As Previously Reported			Acquisition of APB under Common Control			Acquisition of LVD Ltd under Common Control			Eliminations			As Combined
Assets:
Current Assets:
Cash	$	22,124,491		$	1,848,455		$	492,977		$	-		$	24,465,923
Restricted Cash		6,769,533			-			-			-			6,769,533
Account Receivables, Net		1,366,194			-			-			-			1,366,194
Other Receivables		270,222			279,177			95,177			-			644,576
Note Receivables - Related Party		624,986			24,583			-			-			649,569
Prepaid Expenses		1,470,680			-			-			-			1,470,680
Inventory		90,068			-			-			-			90,068
Investment in Securities at Fair Value		48,857,483			313,343			1,631			-			49,172,457
Investment in Securities at Cost		280,516			-			-			-			280,516
Investment in Securities on Equity Method		-			-			74,535			(74,535	)		-
Deposits		47,019			-			-			-			47,019
Total Current Assets		81,901,192			2,465,558			664,320			(74,535	)		84,956,535
Real Estate
Properties under Development		20,505,591			-			-			-			20,505,591
Operating Lease Right-Of-Use Asset		574,754			-			-			-			574,754
Deposit		249,676			-			-			-			249,676
Loan Receivable		-			840,000			-			-			840,000
Property and Equipment, Net		85,365			-			-			-			85,365
Total Assets	$	103,316,578		$	3,305,558		$	664,320		$	(74,535	)	$	107,211,921
Liabilities and Stockholders’ Equity:
Current Liabilities:
Accounts Payable and Accrued Expenses	$	1,553,132		$	117,188		$	-		$	-		$	1,670,320
Deferred Revenue		2,867,226			-			-			-			2,867,226
Builder Deposits		1,262,336			-			-			-			1,262,336
Operating Lease Liability		381,412			-			-			-			381,412
Note Payable		172,706			-			-			-			172,706
Note Payable- Related Parties		1,526,208			-			823,823			-			2,350,031
Total Current Liabilities		7,763,020			117,188			823,823			-			8,704,031
Long-Term Liabilities:
Builder Deposits		-			-			-			-			-
Operating Lease Liability		193,342			-			-			-			193,342
Notes Payable		636,362			-			-			-			636,362
Total Liabilities		8,592,724			117,188			823,823			-			9,533,735
Stockholders’ Equity:
Common Stock		8,570			47,756			-			(47,756	)		8,570
Additional Paid In Capital		97,950,440			3,584,982			756,487			47,756			102,339,666
Accumulated Deficit		(43,010,991	)		(876,712	)		(906,010	)		-			(44,793,713	)
Accumulated Other Comprehensive Income		2,153,318			-			(9,980	)		-			2,143,338
Total Stockholders’ Equity		57,101,337			2,756,027			(159,503	)		-			59,697,861
Non-controlling Interests		37,622,517			432,343			-			(74,535	)		37,980,325
Total Stockholders’ Equity		94,723,854			3,188,370			(159,503	)		(74,535	)		97,678,186
Total Liabilities and Stockholders’ Equity	$	103,316,578		$	3,305,558		$	664,320		$	(74,535	)	$	107,211,921

F-19

6. REAL ESTATE ASSETS

As of March 31, 2021 and December 31, 2020, real estate assets consisted of the following:

	March 31, 2021		December 31, 2020
Construction in Progress	$	7,465,347	$	9,567,841
Land Held for Development		10,638,686		10,937,750
Rental Properties		2,161,680		-
Total Real Estate Assets	$	20,265,713	$	20,505,591

7. BUILDER DEPOSITS

In November 2015, SeD Maryland Development, LLC (“SeD Maryland”) entered into lot purchase agreements with NVR, Inc. (“NVR”) relating to the sale of single-family home and townhome lots to NVR in the Ballenger Run Project. The purchase agreements were amended three times thereafter. Based on the agreements, NVR is entitled to purchase 479 lots for a price of approximately $64,000,000, which escalates 3% annually after June 1, 2018.

As part of the agreements, NVR was required to give a deposit in the amount of $5,600,000. Upon the sale of lots to NVR, 9.9% of the purchase price is taken as payback of the deposit. A violation of the agreements by NVR would cause NVR to forfeit the deposit. On January 3, 2019 and April 28, 2020, NVR gave SeD Maryland two more deposits in the amounts of $100,000 and $220,000, respectively, based on the 3rd Amendment to the Lot Purchase Agreement. On March 31, 2021 and December 31, 2020, there were $928,565 and $1,262,336 held on deposit, respectively.

8. NOTES PAYABLE

As of March 31, 2021 and December 31, 2020, notes payable consisted of the following:

	March 31, 2021		December 31, 2020
M&T Bank Loan, Net of Debt Discount		651,034		636,362
PPP Loan		68,502		-
Australia Loan		170,433		172,706
Total notes payable	$	889,969	$	809,068

M&T Bank Loan

On April 17, 2019, SeD Maryland Development LLC entered into a Development Loan Agreement with Manufacturers and Traders Trust Company (“M&T Bank”) in the principal amount not to exceed at any one time outstanding the sum of $8,000,000, with a cumulative loan advance amount of $18,500,000. The line of credit bears interest rate on LIBOR plus 375 basis points. SeD Maryland Development LLC was also provided with a Letter of Credit (“L/C”) Facility in an aggregate amount of up to $900,000. The L/C commission will be 1.5% per annum on the face amount of the L/C. Other standard lender fees will apply in the event L/C is drawn down. The loan is a revolving line of credit. The L/C Facility is not a revolving loan, and amounts advanced and repaid may not be re-borrowed. Repayment of the Loan Agreement is secured by $2,600,000 collateral fund and a Deed of Trust issued to the Lender on the property owned by SeD Maryland. As of March 31, 2021, the outstanding balance of the revolving loan was $0. As part of the transaction, the Company incurred loan origination fees and closing fees in the amount of $381,823 and capitalized it into construction in process.

On June 18, 2020, Alset EHome Inc. (“Alset EHome”), a wholly owned subsidiary of LiquidValue Development Inc., entered into a Loan Agreement with Manufacturers and Traders Trust Company (the “Lender”).

F-20

Pursuant to the Loan Agreement, the Lender provided a non-revolving loan to Alset EHome in an aggregate amount of up to $2,990,000 (the “Loan”). The line of credit bears interest rate on LIBOR plus 375 basis points. Repayment of the Loan is secured by a Deed of Trust issued to the Lender on the property owned by certain subsidiaries of Alset EHome. The maturity date of this Loan is July 1, 2022. LiquidValue Development Inc. and one of its subsidiaries are guarantors of this Loan. The guarantors are required to maintain during the term of the loan a combined minimum net worth in an aggregate amount equal to not less than $20,000,000. The Company was in compliance with this covenant as of December 31, 2020 and March 31,2021.

During the year ended December 31, 2020 Alset EHome borrowed $664,810 from M&T Bank, incurring at the same time a loan origination fees of $61,679 which are to be amortized over the term of the loan. Alset EHome didn’t borrow any additional funds in three months ended on March 31, 2021. In the three months ended March 31, 2021 and 2020, Alset EHome expensed $6,627 and $0, respectively, in interest on this loan and recorded $8,045 and $0, respectively, of amortization expense. As of March 31, 2021 and December 31, 2020, the remaining unamortized debt discount was $34,862 and $42,906, respectively.

Paycheck Protection Program Loan

On February 11, 2021, the Company entered into a five year note with M&T Bank with a principal amount of $68,502 pursuant to the Paycheck Protection Program (“PPP Term Note”) under the Coronavirus Aid, Relief, and Economic Security Act (the “CARES Act”). The PPP Loan is evidenced by a promissory note. The PPP Term Note bears interest at a fixed annual rate of 1.00%, with the first sixteen months of principal and interest deferred or until we apply for the loan forgiveness. The PPP Term Note may be accelerated upon the occurrence of an event of default.

The PPP Term Note is unsecured and guaranteed by the United States Small Business Administration. The Company may apply to M&T Bank for forgiveness of the PPP Term Note, with the amount which may be forgiven equal to at least 60% of payroll costs and other eligible payments incurred by the Company, calculated in accordance with the terms of the CARES Act. At this time, we are not in a position to quantify the portion of the PPP Term Note that will be forgiven. As of March 31, 2021, we owned $68,502 to M&T Bank.

Australia Loan

On January 7, 2017, SeD Perth Pty Ltd (“SeD Perth”) entered into a loan agreement with National Australian Bank Limited (the “Australia Loan”) for the purpose of funding land development. The loan facility provides SeD Perth with access to funding of up to approximately $460,000 and matures on December 31, 2018. The Australia Loan is secured by both the land under development and a pledged deposit of $35,276. This loan is denominated in AUD. Personal guarantees amounting to approximately $500,000 have been provided by our CEO, Chan Heng Fai and by Rajen Manicka, the CEO of Holista CollTech and Co-founder of iGalen Inc. The interest rate on the Australia Loan is based on the weighted average interest rates applicable to each of the business markets facility components as defined within the loan agreement, ranging from 4.12% to 4.58% per annum for the three months ended March 31, 2021 and from 4.85% to 5.57% per annum for the three months ended March 31, 2020. On September 7, 2017 the Australia Loan was amended to reduce the maximum borrowing capacity to approximately $179,000. During 2020, the terms of the Australia Loan were amended to reflect an extended maturity date of April 30, 2022. This was accounted for as a debt modification. The Company did not pay fees to the National Australian Bank Limited for the modification of the loan agreement.

9. RELATED PARTY TRANSACTIONS

Personal Guarantees by Directors

As of March 31, 2021 and December 31, 2020, a director of the Company had provided personal guarantees amounting to approximately $500,000, to secure external loans from financial institutions for AEI and the consolidated entities.

F-21

Sale of Investment in Vivacitas to DSS

On March 18, 2021, the Company sold equity investment in Vivacitas, a U.S.-based biopharmaceutical company, equaling to 2,480,000 shares of common stock and a stock option to purchase 250,000 shares of Vivacitas common stock at $1 per share at any time prior to the date of a public offering, to a subsidiary of DSS for $2,480,000. Chan Heng Fai, CEO and the founder of the Company, holds a director position on both Vivacitas and DSS. After this transaction, we do not own any investment in Vivacitas. Our original cost of common stock and stock option of Vivacitas was $200,128. We did not recognize gain or loss in this transaction. The difference of $2,279,872 between the selling price and our original investment cost was recorded as additional paid capital considering it was a related party transaction.

Notes Payable

Chan Heng Fai provided interest-free, due on demand advance to LiquidValue Development Pte. Ltd. and its subsidiary LiquidValue Development Limited of approximately $815,381 for the general operations. On March 31, 2021 and December 31, 2020, the outstanding balance was approximately $815,381 and $823,823, respectively.

Chan Heng Fai provided interest-free, due on demand advance to Alset EHome International for the general operations. On March 31, 2021 and December 31, 2020, the outstanding balance was $178,400.

Chan Heng Fai provided an interest-free, due on demand advance to SeD Perth Pty. Ltd. for its general operations. On March 31, 2021 and December 31, 2020, the outstanding balance was $14,190 and $14,379, respectively.

On August 20, 2020, the Company acquired 30,000,000 common shares from Chan Heng Fai in exchange for a two-year non-interest bearing note of $1,333,429. On March 31, 2021 and December 31, 2020 the amount outstanding was $ 133,429 and $1,333,429, respectively.

On March 12, 2021, the Company entered into a Securities Purchase Agreement (the “SPA”) with Chan Heng Fai, the founder, Chairman and Chief Executive Officer of the Company, for four proposed transactions, consisting of (i) purchase of certain warrants (the “Warrants”) to purchase 1,500,000,000 shares of Alset International Limited (“Alset International”), which was valued at $28,363,966; (ii) purchase of all of the issued and outstanding stock of LiquidValue Development Pte Ltd. (“LVD”), which was valued at $173,395; (iii) purchase of 62,122,908 ordinary shares in True Partners Capital Holding Limited (HKG: 8657) (“True Partners”), which was valued at $6,729,629; and (iv) purchase of 4,775,523 shares of the common stock of American Pacific Bancorp Inc. (“APB”), which was valued at $28,653,138. The total amount of above four transactions was $63,920,129, payable on the Closing Date by the Company, in the convertible promissory notes (“Alset CPNs”), which, subject to the terms and conditions of the Alset CPNs and the Company’s shareholder approval, shall be convertible into shares of the Company’s common stock (“AEI Common Stock”), at par value of $0.001 per share, at the conversion price of AEI’s Stock Market Price. AEI’s Stock Market Price shall be $5.59 per share, equivalent to the average of the five closing per share prices of AEI Common Stock preceding January 4, 2021 as quoted by Bloomberg L.P. AEI stock price was $10.03 on March 12, 2021, the commitment date. The Beneficial Conversion Feature (“BCF”) intrinsic value was $50,770,192 for the four convertible promissory notes and was recorded as debt discount of convertible notes after the transaction. As of March 31, 2021, the promissory notes net of debt discount were $13,695,852 and accrued interest was $41,239.

F-22

Management Fees

MacKenzie Equity Partners, owned by Charles MacKenzie, a Director of the Company’s subsidiary LiquidValue Development, has had a consulting agreement with the Company since 2015. Per the terms of the agreement, as amended on January 1, 2018, the Company has paid a monthly fee of $20,000 for these consulting services. The Company incurred expenses of $60,000 and $60,000 for the three months ended March 31, 2021 and 2020, respectively, which were capitalized as part of Real Estate on the Company’s Consolidated Balance Sheet as the services relate to property and project management. As of March 31, 2021, and December 31, 2020 the Company owed $0 to this entity.

Consulting Services

Chan Tung Moe was engaged as a consultant by the Company through Pop Motion Consulting Pte. Ltd. Chan Tung Moe is the son of Chan Heng Fai, the Chairman and CEO of our Company. In August of 2020, this consulting agreement was terminated, and Chan Tung Moe became an employee of Alset International as Chief Development Officer. Chan Tung Moe was appointed as Executive Director of Alset International Limited on December 11, 2020 and on March 1, 2021, he was appointed as Co-Chief Executive Officer of Alset International Limited.

The Company incurred expense of $0 and $57,931 for the three months ended March 31, 2021 and 2020, respectively. As of March 31, 2021 and December 31, 2020, the Company owed Pop Motion a consulting fee of $0.

Notes Receivable from Related Party Companies

On March 2, 2020 LiquidValue Asset Management Pte. Ltd. (“LiquidValue”) received a $200,000 Promissory Note from American Medical REIT Inc. (“AMRE”), a company which is 36.1% owned by LiquidValue. Chan Heng Fai and Chan Tung Moe from Alset International are directors of American Medical REIT Inc. The note carries interests of 8% and is payable in two years. LiquidValue also received warrants to purchase AMRE shares at the Exercise Price $5.00 per share. The amount of the warrants equals to the note principle divided by the Exercise Price. If AMRE goes to IPO in the future and IPO price is less than $10.00 per share, the Exercise price shall be adjusted downward to fifty percent (50%) of the IPO price. As of March 31, 2021 and December 31, 2020, the fair market value of the warrants was $0. The Company accrued $17,431 and $13,431 interest income as of March 31, 2021 and December 31, 2020, respectively.

On January 24, 2017, SeD Capital Pte Ltd, a 100% owned subsidiary of Alset International lent $350,000 to iGalen. The term of the loan was two years, with an interest rate of 3% per annum for the first of year and 5% per annum for the second year. The expiration term was renewed as due on demand after two years with 5% per annum interest rate. As of March 31, 2021 and December 31, 2020, the outstanding principle was $350,000 and accrued interest was $62,058 and $61,555, respectively.

As of March 31, 2021, the Company provided advances for operation of $10,104 to Hyten, a direct sales company in Thailand of which the Company holds approximately 19% ownership. The Company provided advances for operation of $29,968 to APW, a related party company of which the Company holds 8.7% ownership.

Loan to Employees

On November 24, 2020, American Pacific Bancorp. Inc. lent $560,000 to Chan Tung Moe, an officer of one of the subsidiaries of the Company and son of Chan Heng Fai, Chairman and Chief Executive Officer of the Company, bearing interest at 6%, with a maturity date of November 23, 2023. This loan is secured by an irrevocable letter of instruction on 80,000 shares of Alset EHome International. On November 24, 2020, American Pacific Bancorp. Inc. lent $280,000 to Lim Sheng Hon Danny, an employee of one of the subsidiaries of the Company, bearing interest at 6%, with a maturity date of November 23, 2023. This loan is secured by an irrevocable letter of instruction on 40,000 shares of Alset EHome International. As of December 31, 2020 and March 31, 2021, the accrued interest was $17,536 and $5,109, respectively. On March 12, 2021, the Company entered into a Securities Purchase Agreement pursuant to which the Company acquired 86.44% of the total issued and outstanding common stock of American Pacific Bancorp. Inc.

F-23

10. EQUITY

The Company is authorized to issue 20,000,000 common shares and 5,000,000 preferred shares, both at a par value $0.001 per share. As of December 31, 2020, there were 8,570,000 common shares issued and outstanding.

On January 19, 2021, the Company issued 10,000 shares of its common stock as compensation for public relations services at a fair value of $60,900.

On March 31, 2021, there were 8,580,000 common shares issued and outstanding.

On November 23, 2020, under the terms of the Underwriting Agreement, the Company issued to Aegis Capital Corp a warrant (the “Representative’s Warrant”) to purchase an aggregate of 108,000 shares of common stock. The Representative’s Warrant is exercisable at a per share price of $9.80 and is exercisable at any time and from time to time, in whole or in part, during the three-year period commencing from the date of issuance. Following table summarizes the warrant activity for the three months ended March 31, 2021.

	Warrant for				Remaining Contractual		Aggregate
	Common Shares		Exercise Price		Term (Years)		Intrinsic Value
Outstanding as of December 31, 2020		108,000	$	9.80		2.95	$	-
Vested and exercisable at December 31, 2020		108,000	$	9.80		2.95	$	-
Granted		-		-
Exercised		-		-
Forfeited, cancelled, expired		-		-
Outstanding as of March 31, 2021		108,000	$	9.80		2.70	$	191,160
Vested and exercisable at March 31, 2021		108,000	$	9.80		2.70	$	191,160

GigWorld Inc. Sale of Shares

From January to March, 2021, the Company sold 250,000 shares of GigWorld to international investors for the amount of $250,000, which was booked as addition paid-in capital. The Company held 505,551,376 shares of the total outstanding shares 506,898,576 before the sale. After the sale, the Company still owns approximately 99% of GigWorld’s total outstanding shares.

From January to March, 2020, the Company sold 10,000 shares of GigWorld to international investors for the amount of $5,000, which was booked as addition paid-in capital. The Company held 506,223,676 shares of the total outstanding shares 506,898,576 before the sale. After the sale, the Company still owns approximately 99% of GigWorld’s total outstanding shares.

During the three months ended March 31, 2021 and 2020, the sales of GigWorld’s shares were de minimis compared to its outstanding shares and did not change the minority interest.

Distribution to Minority Shareholder

During three months ended on March 31, 2021, SeD Maryland Development LLC Board approved the payment distribution plan to members and paid $82,250 in distribution to the minority shareholder. During three months ended on March 31, 2020, SeD Maryland Development LLC Board approved the payment distribution plan to members and paid $197,400 in distribution to the minority shareholder.

F-24

Changes of Ownership of Alset International

In the three months ended March 31, 2021, Alset International issued 250,000 common shares through warrants exercise with exercise price of approximately $0.03 per share and received $7,484 cash. During the three months ended March 31, 2021, the stock-based compensation expense of Alset International was $73,292 with the issuance of 1,500,000 shares to an officer. The Company’s ownership of Alset International changed from 57.1% as of December 31, 2020 to 57.1% as of March 31, 2021.

A subsidiary Issuing Stock

During March, 2020, a subsidiary of the Company started a private offer (the “Private Offer”) of its units. Each unit comprised of one share of its Class A Common Stock with par value of $0.01 per share and its one Series A 5% Cumulative Preferred Stock with a par value of $0.01 per share, at a subscription price of $6 per unit. The net proceeds from the private offer were $2,232,491 from investors as of March 31, 2020.

11. ACCUMULATED OTHER COMPREHENSIVE INCOME

Following is a summary of the changes in the balances of accumulated other comprehensive income, net of tax:

	Unrealized Gains and Losses on Security Investment			Foreign Currency Translations			Change in Minority Interest			Total
Balance at January 1, 2021	$	(48,758	)	$	2,258,017		$	(65,921	)	$	2,143,338
Other Comprehensive Income		(1,135	)		(1,010,527	)		(39,067	)		(1,050,729	)
Balance at March 31, 2021	$	(49,893	)	$	1,247,490		$	(104,988	)	$	1,092,609

	Unrealized Gains and Losses on Security Investment			Foreign Currency Translations			Change in Minority Interest			Total
Balance at January 1, 2020	$	(59,888	)	$	1,603,145		$	(84,968	)	$	1,458,289
Other Comprehensive Income		(8,240	)		(1,094,810	)		-			(1,103,050	)
Balance at March 31, 2020	$	(68,128	)	$	508,335		$	(84,968	)	$	355,239

12. INVESTMENTS MEASURED AT FAIR VALUE

Financial assets measured at fair value on a recurring basis are summarized below and disclosed on the consolidated balance sheet as of March 31, 2021 and December 31, 2020:

	Amount at		Fair Value Measurement Using						Amount at
	Cost		Level 1		Level 2		Level 3		Fair Value
March 31, 2021
Assets
Investment Securities- Fair Value	$	14,134,540	$	17,923,989	$	-	$	-	$	17,923,989
Investment Securities- Trading		2,457,162		2,468,809		-		-		2,468,809
Convertible Preferred Stock		42,889,000		-		-		29,430,000		29,430,000
Convertible Note Receivable		138,599		-		-		153,590		153,590
Warrants - American Premium Water		860,342		-		-		2,188,264		2,188,264
Warrants - AMRE		-		-		-		-		-
Total Investment in securities at Fair Value	$	60,479,643	$	20,392,798	$	-	$	31,771,854	$	52,164,652

F-25

	Amount at		Fair Value Measurement Using						Amount at
	Cost		Level 1		Level 2		Level 3		Fair Value
December 31, 2020
Assets
Investment securities- Fair Value Option	$	7,404,911	$	10,549,102	$	-	$	-	$	10,549,102
Investment securities- Trading		17,650		18,654		-		-		18,654
Convertible preferred stock		42,889,000		-		-		37,675,000		37,675,000
Convertible note receivable		50,000		-		-		66,978		66,978
Warrants - American Premium Water		860,342		-		-		862,723		862,723
Warrants - AMRE		-		-		-		-		-
Stock Options - Vivacitas		-		-		-		-		-
Total Investment in securities at Fair Value	$	51,221,903	$	10,567,756	$	-	$	38,604,701	$	49,172,457

Unrealized loss on investment securities for the three months ended March 31, 2021 and 2020 was $1,987 and $12,599, respectively. These losses were recorded directly to net income (loss).

For U.S. trading stocks, we use Bloomberg Market stock prices as the share prices to calculate fair value. For overseas stock, we use the stock price from local stock exchange to calculate fair value. The following chart shows details of the fair value of equity security investment at March 31, 2021 and December 31, 2020, respectively.

	Share price					Market Value
	3/31/2021		Shares			3/31/2021		Valuation
DSS (Related Party)	$	3.610		1162501	*	$	4,196,629	Investment in Securities at Fair Value
AMBS (Related Party)	$	0.011		20,000,000		$	228,000	Investment in Securities at Fair Value
Holista (Related Party)	$	0.049		46,226,673		$	2,285,838	Investment in Securities at Fair Value
American Premium Water (Related Party)	$	0.008		122,039,000		$	1,025,128	Investment in Securities at Fair Value
OptimumBank (Related Party)	$	3.870		92,980		$	359,833	Investment in Securities at Fair Value
True Partners	$	0.158		62,122,908		$	9,828,563	Investment in Securities at Fair Value
Trading Stocks						$	2,468,809	Investment in Securities at Fair Value
		Total Level 1 Equity Securities				$	20,392,798

Nervotech	N/A	1,666	$	37,826	Investment in Securities at Cost
Hyten Global	N/A	20,000	$	42,562	Investment in Securities at Cost
K Beauty	N/A	3,600	$	19,609	Investment in Securities at Cost
	Total Equity Securities		$	20,492,795

F-26

	Share price					Market Value
	12/31/2020		Shares			12/31/2020		Valuation
DSS (Related Party)	$	6.240		1,162,501	*	$	7,254,006	Investment in Securities at Fair Value
AMBS (Related Party)	$	0.008		20,000,000		$	160,000	Investment in Securities at Fair Value
Holista (Related Party)	$	0.055		46,226,673		$	2,565,469	Investment in Securities at Fair Value
American Premium Water (Related Party)	$	0.002		122,039,000		$	256,284	Investment in Securities at Fair Value
OptimumBank (Related Party)	$	3.370		92,980		$	313,343	Investment in Securities at Fair Value
Trading Stocks						$	18,654	Investment in Securities at Fair Value
		Total Level 1 Equity Securities				$	10,567,756

Vivacitas (Related Party)	N/A	2,480,000	$	200,128	Investment in Securities at Cost
Nervotech	N/A	1,666	$	37,826	Investment in Securities at Cost
Hyten Global	N/A	20,000	$	42,562	Investment in Securities at Cost
	Total Equity Securities		$	10,848,272

* Ratio of 1-for-30 (the “Reverse Split”) was effective at 5:01 p.m. Eastern Time on May 7, 2020 (the “Effective Time”)

DSS convertible preferred stock

The DSS convertible preferred stock under level 3 category was valued on Option Pricing Method (OPM) in determining the fair value. As of March 31, 2021, the Company held 42,575 shares of DSS convertible preferred stock, which could convert to 6,570,216 common shares, with fair market value of $29,430,000. As of December 31, 2020, the Company held 42,575 shares of DSS convertible preferred stock, which could convert to 6,570,216 common shares, with fair market value $37,675,000. The following table shows the parameters adopted in the valuation at the valuation dates.

	As of March 31,			As of December 31,
	2021			2020
Stock price	$	4.22		$	6.24
Risk-free rate		1.64	%		0.93	%
Volatility		109.67	%		113.69	%
Expected Exit Date		March 24, 2023			December 31, 2023
Dividend Yield		0.00			0.00

The selected stock prices represent the close market bid price of DSS on the valuation date. Risk-free interest rates were obtained from Bloomberg. The volatility is based on the historical volatility of the DSS common stock. We assumed a three-year life for the preferred stock and assumed that after three-years the Company would desire to begin receiving a return on this investment – either through a conversion or liquidation. Given the Beneficial Ownership limited on the exercise of the Series A Preferred Shares, we have assumed that Alset International will sell their common stocks in the Target Company such that their shareholding does not exceed 19.99% prior to conversion. We have assessed the Discount for Lack of Marketability (DLOM) of this interest using a put option method and adopted Black-Scholes Option Pricing Model to estimate the DLOM.

F-27

Sharing Services Convertible Note

The fair value of the Sharing Services Convertible Note under level 3 category as of March 31, 2021 and December 31, 2020 was calculated using a Black-Scholes valuation model valued with the following weighted average assumptions:

	March 31, 2021			December 31, 2020
Dividend yield		0.00	%		0.00	%
Expected volatility		210.07	%		210.07	%
Risk free interest rate		3.25	%		0.13	%
Contractual term (in years)		1.51			1.76
Exercise price	$	0.15		$	0.15

We assumed dividend yield rate is 0.00% in Sharing Services. The volatility is based on the historical volatility of the Sharing Services’ common stock. Risk-free interest rates were obtained from U.S. Treasury rates for the applicable periods.

Changes in the observable input values would likely cause material changes in the fair value of the Company’s Level 3 financial instruments. A significant increase (decrease) in this likelihood would result in a higher (lower) fair value measurement.

The table below provides a summary of the changes in fair value, including net transfers in and/or out of all financial assets measured at fair value on a recurring basis using significant unobservable inputs (Level 3) during the three months ended March 31, 2021 and 2020:

	Total
Balance at January 1, 2021	$	66,978
Total losses		(1,987	)
Balance at March 31, 2021	$	64,991

	Total
Balance at January 1, 2020	$	26,209
Total losses		(12,599	)
Balance at March 31, 2020	$	13,610

Vector Com Convertible Bond

On February 26, 2021, the Company invested approximately $88,599 in the convertible bond of Vector Com Co., Ltd (“Vector Com”), a private company in South Korea. The interest rate is 2% per annum and maturity is two years. The conversion price is approximately $21.26, per common share of Vector Com. As of March 31, 2021, the Management estimated that the fair value of the note to be $88,599, the initial transaction price.

Warrants

On March 2, 2020, the Company received warrants to purchase shares of AMRE, a related party private startup company, in conjunction with the Company lending a $200,000 promissory note. For further details on this transaction, refer to Note 9 Related Party Transactions, Note Receivable from a Related Party Company. As of March 31, 2021 and December 31, 2020, AMRE was a private company. Based the management’s analysis, the fair value of the warrants was $0 as of March 31, 2021 and December 31, 2020.

On July 17, 2020, the Company purchased 122,039,000 shares, approximately 9.99% ownership, and 122,039,000 warrants with an exercise price of $0.0001 per share, from APW, for an aggregated purchase price of $122,039. We value APW warrants under level 3 category through a Black-Scholes option pricing model and the fair value of the warrants from APW were $862,723 as of December 31, 2020 and $2,188,264 as of March 31, 2021.

F-28

The fair value of the APW warrants under level 3 category as of March 31, 2021 and July 17, 2020 was calculated using a Black-Scholes valuation model valued with the following weighted average assumptions:

	March 31, 2021			December 31, 2020
Stock Price	$	0.0084		$	0.0021
Exercise price		0.001			0.001
Risk free interest rate		1.74	%		0.88	%
Annualized volatility		232.10	%		178.86	%
Year to maturity		9.32			9.58

13. COMMITMENTS AND CONTINGENCIES

Lots Sales Agreement

On November 23, 2015, SeD Maryland Development LLC completed the $15,700,000 acquisition of Ballenger Run, a 197-acre land sub-division development located in Frederick County, Maryland. Previously, on May 28, 2014, the RBG Family, LLC entered into a $15,000,000 assignable real estate sales contract with NVR, by which RBG Family, LLC would facilitate the sale of the 197 acres of Ballenger Run to NVR. On December 10, 2014, NVR assigned this contract to SeD Maryland Development, LLC through execution of an assignment and assumption agreement and entered into a series of lot purchase agreements by which NVR would purchase 443 subdivided residential lots from SeD Maryland Development, LLC. On December 31, 2018, SeD Maryland entered into the Third Amendment to the Lot Purchase Agreement for Ballenger Run with NVR. Pursuant to the Third Amendment, SeD Maryland will convert the 5.9 acre CCRC parcel to 36 lots (the 28 feet wide villa lot) and sell to NVR.

Through the three months ended on March 31, 2021 and 2020, NVR purchased 27 lots and 27 lots, respectively. Through March 31, 2021 and December 31, 2020, NVR had purchased a total of 415 and 388 lots, respectively.

Leases

The Company leases offices in Maryland, Singapore, Magnolia, Texas, Hong Kong and South Korea through leased spaces aggregating approximately 15,811 square feet, under leases expiring on various dates from December 2020 to March 2024. The leases have rental rates ranging from $2,265 to $23,297 per month. Our total rent expense under these office leases was $140,271 and $85,558 in the three months ended March 31, 2021 and 2020, respectively. The following table outlines the details of lease terms:

Office Location	Lease Term as of December 31, 2020	Renewed Lease term in 2021
Singapore	June 2020 to June 2021
Hong Kong	October 2020 to October 2022
South Korea	August 2020 to August 2022
Magnolia, Texas, USA	November 2019 to April 2021	May 2021 to October 2021
Bethesda, Maryland, USA	August 2015 to December 2020	January 2021 to March 2024

F-29

The Company adopted ASU No. 2016-02, Leases (Topic 842) (“ASU 2016-02”) to recognize a right-of-use asset and a lease liability for all the leases with terms greater than twelve months. We elected the practical expedient to not recognize operating lease right-of-use assets and operating lease liabilities for lease agreements with terms less than 12 months. Operating lease right-of-use assets and operating lease liabilities are recognized based on the present value of the future minimum lease payments over the lease term at commencement date. As our leases do not provide a readily determinable implicit rates, we estimate our incremental borrowing rates to discount the lease payments based on information available at lease commencement. Our incremental borrowings rates are 3.9% in 2021 and at a range from 0.5% to 4.5% per annum in 2020, which were used as the discount rates. The balances of operating lease right-of-use assets and operating lease liabilities as of March 31, 2021 were $722,507 and $736,561, respectively. The balances of operating lease right-of-use assets and operating lease liabilities as of December 31, 2020 were $574,754 and $574,754, respectively.

The table below summarizes future payments due under these leases as of March 31, 2021.

For the Years Ended December 31:

2021	$	341,827
2022		292,830
2023		95,104
2024		24,430
Total Minimum Lease Payments		754,191
Less: Effect of Discounting		(17,630	)
Present Value of Future Minimum Lease Payments		736,561
Less: Current Obligations under Leases		(51,686	)
Long-term Lease Obligations		684,875

14. DIRECTORS AND EMPLOYEES’ BENEFITS

Stock Option plans AEI

The Company reserves 500,000 shares of common stock under the Incentive Compensation Plan for high-quality executives and other employees, officers, directors, consultants and other persons who provide services to the Company or its related entities. This plan is meant to enable such persons to acquire or increase a proprietary interest in the Company in order to strengthen the mutuality of interests between such persons and the Company’s shareholders, and providing such persons with performance incentives to expand their maximum efforts in the creation of shareholder value. As of March 31, 2021 and December 31, 2020, there have been no options granted.

Alset International Stock Option plans

On November 20, 2013, Alset International approved a Stock Option Plan (the “2013 Plan”). Employees, executive directors, and non-executive directors (including the independent directors) are eligible to participate in the 2013 Plan.

F-30

The following tables summarize stock option activity under the 2013 Plan for the three months ended March 31, 2021:

	Options for				Remaining Contractual		Aggregate
	Common Shares		Exercise Price		Term (Years)		Intrinsic Value
Outstanding as of January 1, 2020		1,061,333	$	0.09		4.00	$	-
Vested and exercisable at January 1, 2020		1,061,333	$	0.09		4.00	$	-
Granted		-		-
Exercised		-		-
Forfeited, cancelled, expired		-		-
Outstanding as of December 31, 2020		1,061,333	$	0.09		3.00	$	-
Vested and exercisable at December 31, 2020		1,061,333	$	0.09		3.00	$	-
Granted		-		-
Exercised		-		-
Forfeited, cancelled, expired		-		-
Outstanding as of March 31, 2021		1,061,333	$	0.09		2.75	$	-
Vested and exercisable at March 31, 2021		1,061,333	$	0.09		2.75	$	-

15. SUBSEQUENT EVENTS

Purchase of Shares of Value Exchange International, Inc.

The Company has entered into a securities purchase agreement dated April 5, 2021 with Value Exchange International, Inc. (“Value Exchange International”) in connection with the purchase of 6,500,000 shares of Value Exchange International’s common stock for an aggregate subscription price of $650,000. The acquisition of 6,500,000 shares of Value Exchange International’s common stock was completed on April 12, 2021.

Ownership of Alset International

On April 8, 2021, the Company exercised its warrants to purchase 139,834,471 shares of Alset International at an exercise price of Singapore $0.04. On May 12, 2021, Chan Heng Fai exercised warrants to purchase 76,925,000 shares of Alset International at an exercise price of Singapore $0.048. On May 14 and 17, 2021, the Company exercised its warrants to purchase 943,531,983 shares of Alset International at an exercise price of Singapore $0.048. Total outstanding shares of Alset International were 2,931,951,400 after these issuances. The Company holds 2,094,516,748 shares of Alset International, approximately 71.4% ownership.

Acquisition of HengFeng Finance Limited

On October 15, 2020, the Company’s subsidiary, American Pacific Bancorp (“APB”), entered into an acquisition agreement to acquire 3,500,001 common shares of Hengfeng Finance Limited (“HFL”), representing 100% of the common shares of HFL, in consideration for 250,000 shares of APB’s Class A Common Stock. HFL is incorporated in Hong Kong with limited liability. This transaction closed on April 21, 2021.

F-31

Joint Venture with Novum

On April 20, 2021 on of Company’s indirect subsidiaries, SeD Capital Pte. Ltd. (“SeD Capital”), entered into joint venture agreement with digital asset management firm Novum Alpha Pte Ltd (“Novum”). Pursuant to this agreement, SeD Capital will own 50% of the issued and paid-up capital in the joint venture company, Credas Capital Pte Ltd (“Credas”) with the remaining 50% shareholding stake held by Novum. Credas intends to develop and launch its maiden digital assets-based Exchange-Traded Product in the fourth quarter of 2021 on the SIX Swiss Exchange, Switzerland’s principal stock exchange and one of Europe’s largest stock exchanges.

Distribution to Minority Shareholders

On April 30, 2021, the Board of Managers of SeD Maryland Development LLC (the 83.55% owned subsidiary of the Company which owns the Company’s Ballenger Project) authorized the payment of distributions to its members in the amount of $3,000,000. Accordingly, the minority member of SeD Maryland Development LLC received a distribution in the amount of $493,500, with the remainder being distributed to a subsidiary of the Company, which is eliminated upon consolidation.

Amendment to Authorized Shares and Designation of Preferred Shares

On May 3, 2021, the holder of a majority of the issued and outstanding shares of common stock of the Company, by written consent, approved and adopted an amendment to our Third Amended and Restated Certificate of Incorporation (the “Amendment”) to increase the number of authorized shares of the Company’s common stock from Twenty Million (20,000,000) common shares to Two Hundred and Fifty Million (250,000,000) common shares and its preferred shares from Five Million (5,000,000) to Twenty Five Million (25,000,000). As of filing date, the amendment is still pending approval from State of Delaware.

On May 3, 2021, the Company filed an amendment to its Articles of Incorporation which sets forth the rights and preferences of the Series A Convertible Preferred Stock. Pursuant to the Series A Designation, 6,380 shares of the Company’s preferred stock was designated Series A Preferred Stock. Holders of the Series A Preferred Stock shall be entitled to receive dividends equal, on an as-if-converted basis, to and in the same form as dividends actually paid on shares of the Company’s common stock par value $0.001 per share (“Common Stock”) when, as and if paid on shares of Common Stock. Each holder of outstanding Series A Preferred Stock is entitled to vote equal to the number of whole shares of Common Stock into which each share of the Series A Preferred Stock is convertible. Holders of Series A Preferred Stock are entitled, upon liquidation of the Company, to receive the same amount that a holder of Series A Preferred Stock would receive if the Series A Preferred Stock were fully converted into Common Stock.

On May 12, 2021 the Company filed a Certificate of Designation which sets forth the rights and preferences of the Series B Preferred Stock. Pursuant to the Series B Designation, 2,132 shares of the Company’s preferred stock was designated Series B Preferred Stock. Holders of the Series B Preferred Stock shall be entitled to receive dividends equal, on an as-if-converted basis, to and in the same form as dividends actually paid on shares of the Company’s common stock par value $0.001 per share (“Common Stock”) when, as and if paid on shares of Common Stock. Each holder of outstanding Series B Preferred Stock is entitled to vote equal to the number of whole shares of Common Stock into which each share of the Series B Preferred Stock is convertible. Holders of Series B Preferred Stock are entitled, upon liquidation of the Company, to receive the same amount that a holder of Series B Preferred Stock would receive if the Series B Preferred Stock were fully converted into Common Stock.

Loan and Exchange Agreement with the CEO, Chan Heng Fai

On May 3, 2021, the Company entered into a Loan and Exchange Agreement with its Chief Executive Officer, Chan Heng Fai pursuant to which Chan Heng Fai loaned the Company his shares of Common Stock of the Company by exchanging 6,380,000 shares of common stock which he owned for an aggregate of 6,380 shares of the Company’s newly designated Series A Convertible Preferred Stock.

On May 12, 2021, Company entered into an Exchange Agreement with Chan Heng Fai, effective May 13, 2021, pursuant to which he exchanged $13,000,000 in principal amount under a $28,363,966 convertible promissory note (the “Note”) in exchange for 2,132 shares of the Company’s newly designated Series B Preferred Stock.

F-32

Public Offering

On May 10, 2021, the Company entered into an underwriting agreement (the “Underwriting Agreement”) with Aegis Capital Corp., as the sole book-running manager and representative of the underwriters named therein (the “Underwriters”), relating to an underwritten public offering (the “Offering”) of (i) 4,700,637 common units (the “Common Units”), at a price to the public of $5.07 per Common Unit, with each Common Unit consisting of (a) one share of common stock, par value $0.001 per share (the “Common Stock”), (b) one Series A warrant (the “Series A Warrant” and collectively, the “Series A Warrants”) to purchase one share of Common Stock with an initial exercise price of $5.07 per whole share, exercisable until the fifth anniversary of the issuance date, and (c) one Series B warrant (the “Series B Warrant” and collectively, the “Series B Warrants” and together with the Series A Warrants, the “Warrants”) to purchase one-half share of Common Stock with an initial exercise price of $6.59 per whole share, exercisable until the fifth anniversary of the issuance date and (ii) 1,611,000 pre-funded units (the “Pre-funded Units”), at a price to the public of $5.06 per Pre-funded Unit, with each Pre-funded Unit consisting of (a) one pre-funded warrant (the “Pre-funded Warrant” and collectively, the “Pre-funded Warrants”) to purchase one share of Common Stock, (b) one Series A Warrant and (c) one Series B Warrant. The shares of Common Stock, the Pre-funded Warrants, and the Warrants were offered together, but the securities contained in the Common Units and the Pre-funded Units were issued separately.

The Company also granted the Underwriters a 45-day over-allotment option to purchase up to 808,363 additional shares of Common Stock and/or up to 808,363 additional Series A Warrants to purchase 808,363 shares of Common Stock, and/or up to 808,363 additional Series B warrants to purchase 404,181 shares of Common Stock. The Offering, including the partial exercise of the Underwriters’ over-allotment option to purchase 808,363 Series A Warrants and 808,363 Series B Warrants, closed on May 13, 2021.

The Company paid the Underwriters an underwriting discount equal to 6.5% of the gross proceeds of the Offering and a non-accountable expense fee equal to 1.25% of the gross proceeds of the Offering. The Company also reimbursed the Underwriters for certain of their expenses, including “roadshow”, diligence, and reasonable legal fees and disbursements, in an amount of $150,000 in the aggregate. The Company has also agreed that it will not issue or announce the issuance or proposed issuance of any Common Stock or Common Stock equivalents for a period of 120 days following the closing date, other than certain exempt issuances.

The net proceeds to the Company from the Offering were approximately $29.2 million, excluding the proceeds, if any, from the exercise of the Warrants and the Pre-funded Warrants sold in the Offering, and after deducting underwriting discounts and commissions and the payment of other estimated offering expenses associated with the Offering that are payable by the Company.

Note Payable Related Party

On May 14, 2021, Alset EHome International Inc., a Delaware corporation (the “Company”), borrowed S$7,395,472 Singapore Dollars (equal to approximately $5,557,371 U.S. Dollars) from the Company’s Chairman, Chief Executive Officer and major stockholder, Chan Heng Fai. The unpaid principal amount of the Loan shall be due and payable on May 14, 2022 and the Loan shall have no interest.

F-33

Item 2. Management’s Discussion and Analysis of Financial Condition and Results of Operations

Forward-Looking Statements

This Form 10-Q contains certain forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995. For this purpose, any statements contained in this Form 10-Q that are not statements of historical fact may be deemed to be forward-looking statements. Without limiting the foregoing, words such as “may”, “will”, “expect”, “believe”, “anticipate”, “estimate” or “continue” or comparable terminology are intended to identify forward-looking statements. These statements by their nature involve substantial risks and uncertainties, and actual results may differ materially depending on a variety of factors, many of which are not within our control. These factors include by are not limited to economic conditions generally and in the industries in which we may participate, competition within our chosen industry, including competition from much larger competitors, technological advances and failure to successfully develop business relationships.

Business Overview

Alset EHome International Inc. is a fast-growing diversified holding company principally engaged in property development, digital transformation technology and biohealth activities with operations is United States, Singapore, Hong Kong and Australia. Our growth strategy is both, to pursue opportunities that we can leverage on our global network using our capital resources and to accelerate the expansion of our organic businesses. We manage our three principal businesses primarily through our 71.4% ( as of the filing date) owned subsidiary, Alset International Limited, a public company traded on the Singapore Stock Exchange.

Financial Impact of the COVID-19 Pandemic

Real Estate Projects

The extent to which the COVID-19 pandemic may impact our business will depend on future developments, which are highly uncertain and cannot be predicted. The COVID-19 pandemic’s far-reaching impact on the global economy could negatively affect various aspects of our business, including demand for real estate. From March through December 2020, we continued to sell lots at our Ballenger Run project (in Maryland) for the construction of town homes to NVR. Sales of such homes to NVR were at the same level in the first three months of 2021 as in the first three months of 2020. In first quarter of 2021 and 2020 we sold 27 lots to NVR. Such town homes are often a first home that generally did not require buyers to sell an existing home. We believe low interest rates have encouraged home sales. Many buyers opted to see home models at the project virtually. This technology allowed them to ask questions to sales staff and see the town homes. Home closings were able to occur electronically.

We have received strong indications that buyers and renters across the country are expressing interest in moving from more densely populated urban areas to the suburbs. We believe that our Ballenger Run project is well suited and positioned to accommodate those buyers. Our latest phase for sale at Ballenger Run, involving single-family homes, has seen a high number of interested potential buyers signing up for additional information and updates on home availability.

The COVID-19 pandemic could impact the ability of our staff and contractors to continue to work, and our ability to conduct our operations in a prompt and efficient manner. To date, we experienced a slowdown in the construction of a clubhouse at the Ballenger Run project, which was completed behind schedule. We believe this delay was caused in part by policies requiring lower numbers of contractors working in indoor spaces.

The COVID-19 pandemic may adversely impact the timeliness of local government in granting required approvals. Accordingly, the COVID-19 pandemic may cause the completion of important stages in our real estate projects to be delayed.

2

Impact on Staff

Most of our U.S. staff works out of our Bethesda, Maryland office. At our office in Texas, we received a 50% rent abatement for the month of May 2020.

Our U.S. staff has shifted to mostly working from home since March 2020, but this has had a minimal impact on our operations to date. Our staff in Singapore and Hong Kong has been able to work from home when needed with minimal impact on our operations, however our staff’s ability to travel between our Hong Kong and Singapore offices has been significantly limited, and our staff’s travel between the U.S. and non-U.S. offices has been suspended since March 2020. The COVID-19 pandemic has also impacted the frequency with which our management would otherwise travel to the Black Oaks project; however, we have a contractor in Texas providing supervision of the project. Management continues to regularly supervise the Ballenger Run project. Limitations on the mobility of our management and staff may slow down our ability to enter into new transactions and expand existing projects.

We have not reduced our staff in connection with the COVID-19 pandemic. To date, we did not have to expend significant resources related to employee health and safety matters related to the COVID-19 pandemic. We have a small staff, however, and the inability of any significant number of our staff to work due to illness or the illness of a family member could adversely impact our operations.

Matters that May or Are Currently Affecting Our Business

In addition to the matters described above, the primary challenges and trends that could affect or are affecting our financial results include:

● Our ability to improve our revenue through cross-selling and revenue-sharing arrangements among our diverse group of companies;

● Our ability to identify complementary businesses for acquisition, obtain additional financing for these acquisitions, if and when needed, and profitably integrate them into our existing operation;

● Our ability to attract competent, skilled technical and sales personnel for each of our businesses at acceptable compensation levels to manage our overhead; and

● Our ability to control our operating expenses as we expand each of our businesses and product and service offerings.

Results of Operations

Summary of Statements of Operations for the Three Months Ended March 31, 2021 and 2020

	Three Months Ended March 31,
	2021			2020
Revenue	$	5,606,914		$	2,965,171
Operating Expenses		6,010,359			3,387,562
Other Income (Expense)		(8,949,966	)		2,677,956
Net (Loss) Income	$	(9,804,748	)	$	2,255,565

3

Revenue

The following tables sets forth period-over-period changes in revenue for each of our reporting segments:

	Three Months Ended March 31,				Change
	2021		2020		Dollars		Percentage
Property development	$	3,894,131	$	2,954,389	$	939,742		32	%
Biohealth		1,712,783		10,782		1,702,001		15,786	%
Digital transformation technology		-		-		-		-
Other		-		-		-		-
Total revenue	$	5,606,914	$	2,965,171	$	2,641,743		89	%

Revenue was $5,606,914 and $2,965,171 for the three months ended March 31, 2021 and 2020, respectively. An increase in property sales from the Ballenger Project and direct sales from HWH World in the first quarter of 2021 contributed to higher revenue in that period. For our Ballenger Project, builders are required to purchase a minimum number of lots based on their applicable sale agreements. We collect revenue only from the sale of lots to builders. We are not involved in the construction of homes at the present time.

Income from the sale of Front Foot Benefits (“FFBs”), assessed on Ballenger Run project lots, increased from $40,322 in the three months ended March 31, 2020 to $107,071 in the three months ended March 31, 2021. The increase is a mixed result of the increased sale of properties to homebuyers in the first quarter of 2021 and sale of FFBs of a higher value.

Revenues from our biohealth segment in the first quarter of 2020 come from the direct sales by iGalen Inc. (formerly known as iGalen USA, LLC), which is 100% owned by iGalen International Inc., Alset International’s 53%-owned subsidiary. On December 30, 2020 Alset International’s ownership of iGalen International was sold to one of the directors of iGalen International. During the three months ended March 31, 2020, the revenue from iGalen Inc. was $10,782.

In recent years, the Company expanded its biohealth segment to Korean market through one of the subsidiaries of Health Wealth Happiness Pte. Ltd., HWH World Inc (“HWH World”). HWH World, similarly to iGalen Inc., operates based on a direct sale model of health supplements. HWH World recognized $1,702,001 and $0 in revenue in three months ended March 31, 2021 and 2020, respectively.

Operating Expenses

The following tables sets forth period-over-period changes in cost of sales for each of our reporting segments:

	Three Months Ended March 31,				Change
	2021		2020		Dollars		Percentage
Property development	$	3,614,832	$	2,380,820	$	1,234,012		52	%
Biohealth		83,022		2,883		80,139		2,780	%
Digital transformation technology		-		-		-		-
Other		-		-		-		-
Total Cost of Sales	$	3,697,854	$	2,383,703	$	1,314,151		55	%

Cost of sales increased from $2,380,820 in the three months ended March 31, 2020 to $3,614,832 in the three months ended March 31, 2021, as a result of the increase in sales in the Ballenger Run project. Capitalized construction expenses, finance costs and land costs are allocated to sales. We anticipate the total cost of sales to increase as revenue increases.

4

The gross margin increased from $581,468 to $1,909,060 in the three months ended March 31, 2020 and 2021, respectively. The increase of gross margin was caused by the increase of gross margin of HWH World, mostly due to the increase in the sales.

The following tables sets forth period-over-period changes in operating expenses for each of our reporting segments.

	Three Months Ended March 31,				Change
	2021		2020		Dollars		Percentage
Property development	$	359,489	$	277,056	$	82,433		30	%
Biohealth		846,480		132,791		713,689		537	%
Digital transformation technology		30,128		18,228		11,900		65	%
Other		1,076,408		575,784		500,624		87	%
Total operating expenses	$	2,312,505	$	1,003,859	$	1,308,646		130	%

The increase of operating expenses of property development in 2021 compared with 2020 was mostly caused by the increase of sales related expenses. Increase in expenses in our biohealth business is caused by the increased commission payments to our distributors, which is connected to increased sales.

Other Income (Expense)

In the three months ended March 31, 2021, the Company had other expense of $8,949,966 compared to other income of $2,677,956 in the three months ended March 31, 2020. The change in unrealized gain (loss) on securities investment and on foreign exchange transactions are the primary reasons for the volatility in these two periods. Unrealized loss on securities investment was $9,535,009 in three months ended March 31, 2021, comparing to $458,422 gain in the three months ended March 31, 2020. Foreign exchange transaction gain was $1,462,697 in the three months ended March 31, 2021, compared to $2,260,482 gain in the three months ended March 31, 2020.

Net Income (Loss)

In the three months ended March 31, 2021 the Company had net loss of $9,353,411 compared to net income of $2,255,565 in the three months ended March 31, 2020.

Liquidity and Capital Resources

Our real estate assets under development have decreased to $20,265,713 as of March 31, 2021 from $20,505,591 as of December 31, 2020. This decrease primarily reflects an increase in sales of lots and a higher increase in costs of sales than in the capitalized costs related to the construction in progress. On March 31, 2021, we purchased 10 homes, which will be used in Company’s rental business.

Our cash has decreased from $24,465,923 as of December 31, 2020 to $20,368,692 as of March 31, 2021. Our liabilities increased from $9,533,735 at December 31, 2020 to $23,252,927 at March 31, 2021. Our total assets have increased to $108,797,989 as of March 31, 2021 from $107,211,921 as of December 31, 2020 mainly due to the increase in cash and investments in securities.

Summary of Cash Flows for the Three Months Ended March 31, 2021 and 2020

	Three Months Ended March 31,
	2021			2020
Net cash used in operating activities	$	(3,304,857	)	$	(182,597	)
Net cash provided by investing activities	$	2,352,536		$	101,963
Net cash provided by (used in) financing activities	$	(956,264	)	$	2,030,592

Cash Flows from Operating Activities

Net cash used in operating activities was $3,304,857 in the first three months of 2021, as compared to net cash used in operating activities of $182,597 in the same period of 2020. The higher prepayments and purchase of trading securities for investment purposes explained the increased cash flow used in operating activities in the first three months of 2021.

5

Cash Flows from Investing Activities

Net cash provided by investing activities was $2,352,536 in the first three months of 2021, as compared to net cash provided by investing activities of $101,963 in the same period of 2020. In the three months ended March 31, 2021 we invested $108,208 in securities and received approximately $2.5 million from the sale of Vivacitas Oncology to a related party. In the three months ended March 31, 2020, we received $303,349 from the liquidation of Global Opportunity Fund. We also invested $200,000 in a promissory note of a related party.

Cash Flows from Financing Activities

Net cash used in financing activities was $956,264 in the three months ended March 31, 2021, comparing to net cash provided of $2,030,592 the three months ended March 31, 2020. The increase in cash used in financing activities is primarily caused by the increase in cash used to repay related party note payable. During the three months ended March 31, 2021, we received cash proceeds of $7,484 from the exercise of subsidiary warrants, $250,000 from the sale of our GigWorld shares to individual investors and $68,502 from a loan. The Company also distributed $82,250 to one minority interest investor and repaid $1,200,000 of promissory note held by related parties. During the three months ended March 31, 2020, we received cash proceeds of $2,210,491 from the issuance of stock through a subsidiary’s private placement, distributed $197,400 to one minority interest investor and borrowed $17,501 from related party loan.

Off-Balance Sheet Arrangements

We do not have any off-balance sheet arrangements that are reasonably likely to have a current or future effect on our financial condition, revenues, results of operations, liquidity or capital expenditures.

Impact of Inflation

We believe that inflation has not had a material impact on our results of operations for the three months ended March 31, 2021 or the year ended December 31, 2020. We cannot assure you that future inflation will not have an adverse impact on our operating results and financial condition.

Impact of Foreign Exchange Rates

The effect of foreign exchange rate changes on the intercompany loans (under ASC 830), which mostly consist of loans from Singapore to the United States and which were approximately $27.1 million and $24.8 million on March 31, 2021 and December 31, 2020, respectively, are the reason for the significant fluctuation of foreign currency transaction Gain or Loss on the Consolidated Statements of Operations and Other Comprehensive Income. Because the intercompany loan balances between Singapore and United States will remain at approximately $25 million over the next year, we expect this fluctuation of foreign exchange rates to still significantly impact the results of operations in 2021, especially given that the foreign exchange rate may and is expected to be volatile. If the amount of intercompany loan is lowered in the future, the effect will also be reduced. However, at this moment, we do not expect to repay the intercompany loans in the short term.

Emerging Growth Company Status

We are an “emerging growth company,” as defined in the JOBS Act, and we may take advantage of certain exemptions from various reporting requirements that are applicable to other public companies that are not “emerging growth companies.” Section 107 of the JOBS Act provides that an “emerging growth company” can take advantage of the extended transition period provided in Section 7(a)(2)(B) of the Securities Act for complying with new or revised accounting standards. In other words, an “emerging growth company” can delay the adoption of certain accounting standards until those standards would otherwise apply to private companies. We have elected to take advantage of these exemptions until we are no longer an emerging growth company or until we affirmatively and irrevocably opt out of this exemption.

6

Seasonality

The real estate business is subject to seasonal shifts in costs as certain work is more likely to be performed at certain times of year. This may impact the expenses of Alset EHome Inc. from time to time. In addition, should we commence building homes, we are likely to experience periodic spikes in sales as we commence the sales process at a particular location.

Item 3. Quantitative and Qualitative Disclosures about Market Risk

As a “smaller reporting company” as defined by Item 10(f)(1) of Regulation S-K, the Company is not required to provide the information required by this Item.

Item 4. Controls and Procedures

(a) Evaluation of Disclosure Controls and Procedures

As of the end of the period covered by this report, an evaluation was performed under the supervision and with the participation of our management, including our Chief Executive Officer and Chief Financial Officers, of the effectiveness of the design and operation of our disclosure controls and procedures (as defined in Rules 13a-15(e) and 15d-15(e) under the Securities Exchange Act of 1934, as amended (the “Exchange Act”)). Based on that evaluation, our management, including our Chief Executive Officer and Chief Financial Officers, concluded that our disclosure controls and procedures are not effective as of March 31, 2021 to ensure that information required to be disclosed by us in reports that we file or submit under the Exchange Act is recorded, processed, summarized and reported within the time periods specified in the Securities and Exchange Commission’s rules and forms and to ensure that information required to be disclosed by us in the reports that we file or submit under the Exchange Act is accumulated and communicated to our management, including our Chief Executive Officer and Chief Financial Officers, as appropriate to allow timely decisions regarding required disclosure.

(b) Changes in the Company’s Internal Controls Over Financial Reporting

There was no change in our internal control over financial reporting (as defined in Rules 13a-15(f) and 15(d)-15(f) under the Exchange Act) that occurred during the quarterly period ended March 31, 2021 that has materially affected, or is reasonably likely to materially affect, our internal control over financial reporting.

Part II. Other Information

Item 1. Legal Proceeding

Not Applicable for the period covered by this report.

Item 1A. Risk Factors

Not applicable to smaller reporting companies.

Item 2. Unregistered Sales of Equity Securities and Use of Proceeds

The Company has not sold any unregistered shares during the period covered by this Report or through May 24, 2021; however, on January 19, 2021, the Company issued 10,000 shares of its common stock for public relations services. Such securities were not registered under the Securities Act of 1933 and were issued pursuant to the exemption under Section 4(2) of the Securities Act.

On May 3, 2021, the Company entered into a Loan and Exchange Agreement with its Chairman and Chief Executive Officer, Chan Heng Fai pursuant to which Chan Heng Fai loaned the Company his shares of Common Stock of the Company by exchanging 6,380,000 shares of common stock which he owned for an aggregate of 6,380 shares of the Company’s newly designated Series A Convertible Preferred Stock. Such securities were not registered under the Securities Act of 1933 and were issued pursuant to the exemption under Section 3(a)(9) of the Securities Act.

On May 12, 2021, Company entered into an Exchange Agreement with our Chairman and Chief Executive Officer Chan Heng Fai, effective May 13, 2021, pursuant to which Chan Heng Fai exchanged $13,000,000 in principal amount under a $28,363,966 convertible promissory note in exchange for 2,132 shares of the Company’s newly designated Series B Preferred Stock. Such securities were not registered under the Securities Act of 1933 and were issued pursuant to the exemption under Section 3(a)(9) of the Securities Act.

On May 10, 2021, the Company entered into an underwriting agreement (the “Underwriting Agreement”) with Aegis Capital Corp., as the sole book-running manager and representative of the underwriters named therein (the “Underwriters”), relating to an underwritten public offering (the “Offering”) of (i) 4,700,637 common units (the “Common Units”), at a price to the public of $5.07 per Common Unit, with each Common Unit consisting of (a) one share of common stock, par value $0.001 per share (the “Common Stock”), (b) one Series A warrant (the “Series A Warrant” and collectively, the “Series A Warrants”) to purchase one share of Common Stock with an initial exercise price of $5.07 per whole share, exercisable until the fifth anniversary of the issuance date, and (c) one Series B warrant (the “Series B Warrant” and collectively, the “Series B Warrants” and together with the Series A Warrants, the “Warrants”) to purchase one-half share of Common Stock with an initial exercise price of $6.59 per whole share, exercisable until the fifth anniversary of the issuance date and (ii) 1,611,000 pre-funded units (the “Pre-funded Units”), at a price to the public of $5.06 per Pre-funded Unit, with each Pre-funded Unit consisting of (a) one pre-funded warrant (the “Pre-funded Warrant” and collectively, the “Pre-funded Warrants”) to purchase one share of Common Stock, (b) one Series A Warrant and (c) one Series B Warrant. The shares of Common Stock, the Pre-funded Warrants, and the Warrants were offered together, but the securities contained in the Common Units and the Pre-funded Units were issued separately. The Offering was made pursuant to the Company’s registration statement on Form S-1 (File Number 333-255757), which was declared effective on May 10, 2021.

The Company also granted the Underwriters a 45-day over-allotment option to purchase up to 808,363 additional shares of Common Stock and/or up to 808,363 additional Series A Warrants to purchase 808,363 shares of Common Stock, and/or up to 808,363 additional Series B warrants to purchase 404,181 shares of Common Stock. The Offering, including the partial exercise of the Underwriters’ over-allotment option to purchase 808,363 Series A Warrants and 808,363 Series B Warrants, closed on May 13, 2021.

The net proceeds to the Company from the Offering was approximately $29.2 million, excluding the proceeds, if any, from the exercise of the Warrants and the Pre-funded Warrants sold in the Offering, and after deducting underwriting discounts and commissions and the payment of other estimated offering expenses associated with the Offering that are payable by the Company. On May 17, 2021, the Company paid S$37,894,063.20 Singapore Dollars (equal to approximately $28,475,719 U.S. Dollars) received from the Offering to exercise warrants to purchase 789,459,650 shares of Alset International Limited at an exercise price of S$.048 Singapore Dollars (equal to approximately $.036 U.S. Dollars) per share. The proceeds have been received by Alset International Limited.

Item 3. Defaults Upon Senior Securities

None.

Item 4. Mine Safety Disclosures

Not Applicable.

7

Item 5. Other Information

None.

Item 6. Exhibits

The following documents are filed as a part of this report:

1.1	Underwriting Agreement, dated as of May 10, 2021, by and between Alset EHome International Inc. and Aegis Capital Corp., as representative of the underwriters named therein, incorporated herein by reference to Exhibit 1.1 to the Company’s Current Report on Form 8-K, filed with the Securities and Exchange Commission on May 14, 2021.
3.1	Certificate of Merger, incorporated herein by reference to Exhibit 3.5 to the Company’s Current Report on Form 8-K filed with the Securities and Exchange Commission on February 11, 2021.
3.2	Certificate of Designation of the Company’s Series A Convertible Preferred Stock, incorporated herein by reference to Exhibit 3.1 to the Company’s Current Report on Form 8-K, filed with the Securities and Exchange Commission on May 4, 2021.
3.3	Certificate of Designation of the Company’s Series B Convertible Preferred Stock, incorporated herein by reference to Exhibit 3.1 to the Company’s Current Report on Form 8-K, filed with the Securities and Exchange Commission on May 12, 2021.
4.1	Pre-funded Warrant Agent Agreement (including the terms of the Pre-funded Warrant), incorporated herein by reference to Exhibit 4.1 to the Company’s Current Report on Form 8-K, filed with the Securities and Exchange Commission on May 14, 2021.
4.2	Series A Warrant Agent Agreement (including the terms of the Series A Warrant), incorporated herein by reference to Exhibit 4.2 to the Company’s Current Report on Form 8-K, filed with the Securities and Exchange Commission on May 14, 2021.
4.3	Series B Warrant Agent Agreement (including the terms of the Series B Warrant), incorporated herein by reference to Exhibit 4.3 to the Company’s Current Report on Form 8-K, filed with the Securities and Exchange Commission on May 14, 2021.
10.1	Binding Term Sheet on Share Exchange Transaction Among HF Enterprises Inc. and Mr. Chan Heng Fai Ambrose, dated January 4, 2021, incorporated herein by reference to Exhibit 10.1 to the Company’s Current Report on Form 8-K, filed with the Securities and Exchange Commission on January 12, 2021.
10.2	Term Sheet by and among Document Security Systems, Inc., Alset International Limited, Health Wealth Happiness Pte. Ltd., and HWH World Inc. dated January 6, 2021, incorporated herein by reference to Exhibit 99.1 to the Company’s Current Report on Form 8-K, filed with the Securities and Exchange Commission on January 7, 2021.
10.3	Executive Employment Agreement, by and between Alset EHome International Inc., Hengfai Business Development Pte Ltd. and Chan Heng Fai, dated as of February 8, 2021, incorporated herein by reference to Exhibit 10.1 to the Company’s Current Report on Form 8-K, filed with the Securities and Exchange Commission on February 12, 2021.
10.4	Securities Purchase Agreement By and Among Alset EHome International Inc., Chan Heng Fai Ambrose, True Partners International Limited, LiquidValue Development Pte Ltd. and American Pacific Bancorp, Inc. dated March 12, 2021, incorporated herein by reference to Exhibit 10.1 to the Company’s Current Report on Form 8-K filed with the Securities and Exchange Commission on March 18, 2021.
10.5	2% Conditional Convertible Promissory Note dated March 12, 2021, in the principal amount of $28,363,966.42, incorporated herein by reference to Exhibit 10.2 to the Company’s Current Report on Form 8-K filed with the Securities and Exchange Commission on March 18, 2021.
10.6	2% Conditional Convertible Promissory Note dated March 12, 2021, in the principal amount of $173,394.87, incorporated herein by reference to Exhibit 10.3 to the Company’s Current Report on Form 8-K filed with the Securities and Exchange Commission on March 18, 2021.
10.7	2% Conditional Convertible Promissory Note dated March 12, 2021, in the principal amount of $6,729,629.29, incorporated herein by reference to Exhibit 10.4 to the Company’s Current Report on Form 8-K filed with the Securities and Exchange Commission on March 18, 2021.

8

10.8	2% Conditional Convertible Promissory Note dated March 12, 2021, in the principal amount of $28,653,138.00, incorporated herein by reference to Exhibit 10.5 to the Company’s Current Report on Form 8-K filed with the Securities and Exchange Commission on March 18, 2021.
10.9	Loan and Exchange Agreement By and Between the Company and Chan Heng Fai, incorporated herein by reference to Exhibit 10.1 to the Company’s Current Report on Form 8-K, filed with the Securities and Exchange Commission on May 4, 2021.
10.10	Exchange Agreement By and Between the Company and Chan Heng Fai, incorporated herein by reference to Exhibit 10.1 to the Company’s Current Report on Form 8-K, filed with the Securities and Exchange Commission on May 12, 2021.
10.11	Promissory Note, incorporated herein by reference to Exhibit 10.1 to the Company’s Current Report on Form 8-K, filed with the Securities and Exchange Commission on May 20, 2021.
31.1*	Certification of Chief Executive Officer pursuant to Section 302 of the Sarbanes-Oxley Act of 2002.
31.2a*	Certification of Co-Chief Financial Officer pursuant to Section 302 of the Sarbanes-Oxley Act of 2002.
31.2b*	Certification of Co-Chief Financial Officer pursuant to Section 302 of the Sarbanes-Oxley Act of 2002.
32.1**	Certifications of the Chief Executive Officer and Chief Financial Officers pursuant to Section 906 of the Sarbanes-Oxley Act of 2002.
101.INS	XBRL Instance Document
101.SCH	XBRL Taxonomy Extension Schema Document
101.CAL	XBRL Taxonomy Extension Calculation Linkbase Document
101.DEF	XBRL Taxonomy Extension Definition Linkbase Document
101.LAB	XBRL Taxonomy Extension Label Linkbase Document
101.PRE	XBRL Taxonomy Extension Presentation Linkbase Document

* Filed herewith.

** Furnished herewith.

9

SIGNATURES

Pursuant to the requirements of the Securities Exchange Act of 1934, the registrant has duly caused this report to be signed on its behalf by the undersigned, thereunto duly authorized.

	ALSET EHOME INTERNATIONAL INC.
May 24, 2021	By:	/s/ Chan Heng Fai
		Chan Heng Fai Chairman of the Board and Chief Executive Officer
		(Principal Executive Officer)

May 24, 2021	By:	/s/ Rongguo Wei
		Rongguo Wei Co-Chief Financial Officer
		(Principal Financial and Accounting Officer)

May 24, 2021	By:	/s/ Lui Wai Leung Alan
		Lui Wai Leung Alan Co-Chief Financial Officer
		(Principal Financial and Accounting Officer)

10

EX-31.1

Exhibit 31.1

Certification of Chief Executive Officer

Pursuant to

Rules 13a-14(a) and 15d-14(a) under the Securities Exchange Act of 1934

as Adopted Pursuant to

Section 302 of the Sarbanes-Oxley Act of 2002

I, Chan Heng Fai, certify that:

1.        I have reviewed this report on Form 10-Q of Alset EHome International Inc.;

2. Based on my knowledge, this report does not contain any untrue statement of a material fact or omit to state a material fact necessary to make the statements made, in light of the circumstances under which such statements were made, not misleading with respect to the period covered by this report;

3. Based on my knowledge, the financial statements, and other financial information included in this report, fairly present in all material respects the financial condition, results of operations and cash flows of the registrant as of, and for, the periods presented in this report;

4. The registrant’s other certifying officer and I are responsible for establishing and maintaining disclosure controls and procedures (as defined in Exchange Act Rules 13a-15(e) and 15d-15(e)) and internal control over financial reporting (as defined in Exchange Act Rules 13a-15(f) and 15d-15(f) for the registrant and have:

(a) Designed such disclosure controls and procedures, or caused such disclosure controls and procedures to be designed under our supervision, to ensure that material information relating to the registrant, including its consolidated subsidiaries, is made known to us by others within those entities, particularly during the period in which this report is being prepared;

(b) Designed such internal control over financial reporting, or caused such internal control over financial reporting to be designed under our supervision, to provide reasonable assurance regarding the reliability of financial reporting and the preparation of financial statements for external purposes in accordance with generally accepted accounting principles;

(c) Evaluated the effectiveness of the registrant’s disclosure controls and procedures and presented in this report our conclusions about the effectiveness of the disclosure controls and procedures, as of the end of the period covered by this report based on such evaluation; and

(d) Disclosed in this report any change in the registrant’s internal control over financial reporting that occurred during the registrant’s most recent fiscal quarter (the registrant’s fourth fiscal quarter in the case of an annual report) that has materially affected, or is reasonably likely to materially affect, the registrant’s internal control over financial reporting; and

5. The registrant’s other certifying officer and I have disclosed, based on our most recent evaluation of internal control over financial reporting, to the registrant’s auditors and the audit committee of the registrant’s board of directors (or persons performing the equivalent functions):

(a) All significant deficiencies and material weaknesses in the design or operation of internal controls over financial reporting which are reasonably likely to adversely affect the registrant’s ability to record, process, summarize and report financial information; and

(b) Any fraud, whether or not material, that involves management or other employees who have a significant role in the registrant’s internal control over financial reporting.

May 24, 2021	By:	/s/ Chan Heng Fai
		Chan Heng Fai
		Chief Executive Officer
		(Principal Executive Officer)

EX-31.2A

Exhibit 31.2a

Certification of Chief Financial Officer

Pursuant to

Rules 13a-14(a) and 15d-14(a) under the Securities Exchange Act of 1934

as Adopted Pursuant to

Section 302 of the Sarbanes-Oxley Act of 2002

I, Rongguo Wei, certify that:

1. I have reviewed this report on Form 10-Q of Alset EHome International Inc.;

2. Based on my knowledge, this report does not contain any untrue statement of a material fact or omit to state a material fact necessary to make the statements made, in light of the circumstances under which such statements were made, not misleading with respect to the period covered by this report;

3. Based on my knowledge, the financial statements, and other financial information included in this report, fairly present in all material respects the financial condition, results of operations and cash flows of the registrant as of, and for, the periods presented in this report;

4. The registrant’s other certifying officer and I are responsible for establishing and maintaining disclosure controls and procedures (as defined in Exchange Act Rules 13a-15(e) and 15d-15(e)) and internal control over financial reporting (as defined in Exchange Act Rules 13a-15(f) and 15d-15(f) for the registrant and have:

(a) Designed such disclosure controls and procedures, or caused such disclosure controls and procedures to be designed under our supervision, to ensure that material information relating to the registrant, including its consolidated subsidiaries, is made known to us by others within those entities, particularly during the period in which this report is being prepared;

(b) Designed such internal control over financial reporting, or caused such internal control over financial reporting to be designed under our supervision, to provide reasonable assurance regarding the reliability of financial reporting and the preparation of financial statements for external purposes in accordance with generally accepted accounting principles;

(c) Evaluated the effectiveness of the registrant’s disclosure controls and procedures and presented in this report our conclusions about the effectiveness of the disclosure controls and procedures, as of the end of the period covered by this report based on such evaluation; and

(d) Disclosed in this report any change in the registrant’s internal control over financial reporting that occurred during the registrant’s most recent fiscal quarter (the registrant’s fourth fiscal quarter in the case of an annual report) that has materially affected, or is reasonably likely to materially affect, the registrant’s internal control over financial reporting; and

5. The registrant’s other certifying officer and I have disclosed, based on our most recent evaluation of internal control over financial reporting, to the registrant’s auditors and the audit committee of the registrant’s board of directors (or persons performing the equivalent functions):

(a) All significant deficiencies and material weaknesses in the design or operation of internal controls over financial reporting which are reasonably likely to adversely affect the registrant’s ability to record, process, summarize and report financial information; and

(b) Any fraud, whether or not material, that involves management or other employees who have a significant role in the registrant’s internal control over financial reporting.

May 24, 2021	By:	/s/ Rongguo Wei
		Rongguo Wei
		Co-Chief Financial Officer
		(Principal Financial Officer)

EX-31.2B

Exhibit 31.2b

Certification of Chief Financial Officer

Pursuant to

Rules 13a-14(a) and 15d-14(a) under the Securities Exchange Act of 1934

as Adopted Pursuant to

Section 302 of the Sarbanes-Oxley Act of 2002

I, Lui Wai Leung Alan, certify that:

1. I have reviewed this report on Form 10-Q of Alset EHome International Inc.;

2. Based on my knowledge, this report does not contain any untrue statement of a material fact or omit to state a material fact necessary to make the statements made, in light of the circumstances under which such statements were made, not misleading with respect to the period covered by this report;

3. Based on my knowledge, the financial statements, and other financial information included in this report, fairly present in all material respects the financial condition, results of operations and cash flows of the registrant as of, and for, the periods presented in this report;

4. The registrant’s other certifying officer and I are responsible for establishing and maintaining disclosure controls and procedures (as defined in Exchange Act Rules 13a-15(e) and 15d-15(e)) and internal control over financial reporting (as defined in Exchange Act Rules 13a-15(f) and 15d-15(f) for the registrant and have:

(a) Designed such disclosure controls and procedures, or caused such disclosure controls and procedures to be designed under our supervision, to ensure that material information relating to the registrant, including its consolidated subsidiaries, is made known to us by others within those entities, particularly during the period in which this report is being prepared;

(b) Designed such internal control over financial reporting, or caused such internal control over financial reporting to be designed under our supervision, to provide reasonable assurance regarding the reliability of financial reporting and the preparation of financial statements for external purposes in accordance with generally accepted accounting principles;

(c) Evaluated the effectiveness of the registrant’s disclosure controls and procedures and presented in this report our conclusions about the effectiveness of the disclosure controls and procedures, as of the end of the period covered by this report based on such evaluation; and

(d) Disclosed in this report any change in the registrant’s internal control over financial reporting that occurred during the registrant’s most recent fiscal quarter (the registrant’s fourth fiscal quarter in the case of an annual report) that has materially affected, or is reasonably likely to materially affect, the registrant’s internal control over financial reporting; and

5. The registrant’s other certifying officer and I have disclosed, based on our most recent evaluation of internal control over financial reporting, to the registrant’s auditors and the audit committee of the registrant’s board of directors (or persons performing the equivalent functions):

(a) All significant deficiencies and material weaknesses in the design or operation of internal controls over financial reporting which are reasonably likely to adversely affect the registrant’s ability to record, process, summarize and report financial information; and

(b) Any fraud, whether or not material, that involves management or other employees who have a significant role in the registrant’s internal control over financial reporting.

May 24, 2021	By:	/s/ Lui Wai Leung Alan
		Lui Wai Leung Alan
		Co-Chief Financial Officer
		(Principal Financial Officer)

EX-32.1

Exhibit 32.1

CERTIFICATION PURSUANT TO 18 U.S.C. SECTION 1350,

AS ADOPTED PURSUANT TO

SECTION 906 OF THE SARBANES-OXLEY ACT OF 2002

In connection with the quarterly report on Form 10-Q of Alset EHome International Inc. (the “Company”) for the three month period ended March 31, 2021, as filed with the Securities and Exchange Commission on the date hereof (the “Report”), the undersigned officers, certify, pursuant to Section 906 of the Sarbanes-Oxley Act of 2002 (18 U.S.C. Section 1350), that to the best of his or her knowledge:

1. The Report fully complies with the requirements of Section 13(a) or 15(d) of the Securities Exchange Act of 1934; and

2. The information contained in the Report fairly presents, in all material respects, the financial condition and result of operations of the Company.

Date:	May 24, 2021	/s/ Chan Heng Fai
		Chan Heng Fai
		Chief Executive Officer, Director
		(Principal Executive Officer)
Date:	May 24, 2021	/s/ Rongguo Wei
		Rongguo Wei
		Co-Chief Financial Officer
		(Principal Financial Officer)
Date:	May 24, 2021	/s/ Lui Wai Leung Alan
		Lui Wai Leung Alan
		Co-Chief Financial Officer
		(Principal Financial Officer)

XML

Document and Entity Information - shares	3 Months Ended
	Mar. 31, 2021	May 24, 2021
Cover [Abstract]
Entity Registrant Name	Alset EHome International Inc.
Entity Central Index Key	0001750106
Document Type	10-Q
Document Period End Date	Mar. 31, 2021
Amendment Flag	false
Current Fiscal Year End Date	--12-31
Entity Current Reporting Status	Yes
Entity Interactive Data Current	Yes
Entity Filer Category	Non-accelerated Filer
Entity Small Business	true
Entity Emerging Growth Company	true
Entity Ex Transition Period	false
Entity Shell Company	false
Entity Common Stock, Shares Outstanding		8,511,637
Document Fiscal Period Focus	Q1
Document Fiscal Year Focus	2021

XML

Consolidated Balance Sheets (Unaudited) - USD ($)	Mar. 31, 2021	Dec. 31, 2020
Current Assets:
Cash	$ 20,368,692	$ 24,465,923
Restricted Cash	8,636,391	6,769,533
Account Receivables, Net	1,062,278	1,366,194
Other Receivables	687,120	644,576
Note Receivables - Related Parties	669,561	649,569
Prepaid Expenses	2,894,258	1,470,680
Inventory	8,956	90,068
Investment in Securities at Fair Value	52,164,652	49,172,457
Investment in Securities at Cost	99,997	280,516
Deposits	25,528	47,019
Total Current Assets	86,617,433	84,956,535
Real Estate
Rental Properties	2,161,680
Properties under Development	18,104,033	20,505,591
Operating Lease Right-Of-Use Asset	722,507	574,754
Deposit	271,167	249,676
Loan Receivable - Related Parties	840,000	840,000
Property and Equipment, Net	81,169	85,365
Total Assets	108,797,989	107,211,921
Current Liabilities:
Accounts Payable and Accrued Expenses	2,388,448	1,670,320
Accrued Interest - Related Parties	41,239
Deferred Revenue	3,430,893	2,867,226
Builder Deposits	928,565	1,262,336
Operating Lease Liability	51,686	381,412
Notes Payable	238,935	172,706
Notes Payable - Related Parties	14,837,252	2,350,031
Total Current Liabilities	21,917,018	8,704,031
Long-Term Liabilities:
Operating Lease Liability	684,875	193,342
Note Payable, Net of Discount	651,034	636,362
Total Liabilities	23,252,927	9,533,735
Stockholders' Equity:
Preferred Stock, $0.001 par value; 5,000,000 shares authorized, none issued and outstanding
Common Stock, $0.001 par value; 20,000,000 shares authorized; 8,580,000 and 8,570,000 shares issued and outstanding on March 31, 2021 and December 31, 2020 , respectively	8,580	8,570
Additional Paid In Capital	101,799,367	102,339,666
Accumulated Other Comprehensive Income	1,092,609	2,143,338
Accumulated Deficit	(51,029,349)	(44,793,713)
Total Alset EHome International Stockholders' Equity	51,871,207	59,697,861
Non-controlling Interests	33,673,855	37,980,325
Total Stockholders' Equity	85,545,062	97,678,186
Total Liabilities and Stockholders' Equity	$ 108,797,989	$ 107,211,921

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Consolidated Balance Sheets (Unaudited) (Parenthetical) - $ / shares	Mar. 31, 2021	Dec. 31, 2020
Statement of Financial Position [Abstract]
Preferred stock, par value	$ 0.001	$ 0.001
Preferred stock, shares authorized	5,000,000	5,000,000
Preferred stock, shares issued
Preferred stock, shares outstanding
Common stock, par value	$ 0.001	$ 0.001
Common stock, shares authorized	20,000,000	20,000,000
Common stock, shares issued	8,580,000	8,570,000
Common stock, shares outstanding	8,580,000	8,570,000

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Consolidated Statements of Operations and Other Comprehensive Income (Loss) (Unaudited) - USD ($)	3 Months Ended
	Mar. 31, 2021	Mar. 31, 2020
Revenue
Total Revenue	$ 5,606,914	$ 2,965,171
Operating Expenses
Cost of Sales	3,697,854	2,383,703
General and Administrative	2,312,505	1,001,850
Inventory Written Off		2,009
Total Operating Expenses	6,010,359	3,387,562
Operating Losses From Operations	(403,445)	(422,391)
Other Income (Expense)
Interest Income	30,632	19,415
Interest Expense	(53,582)	(60,931)
Foreign Exchange Transaction Gain	1,462,697	2,260,482
Unrealized (Loss) Gain on Securities Investment	(9,535,009)	458,422
Realized Loss on Securities Investment	(258,245)
Loss on Investment on Security by Equity Method	(24,847)	458,422
Finance Costs	(582,868)	(4,903)
Other Income	11,256	5,471
Total Other (Expense) Income, Net	(8,949,966)	2,677,956
Net (Loss) Income Before Income Taxes	(9,353,411)	2,255,565
Income Tax	(451,337)
Net (Loss) Income	(9,804,748)	2,255,565
Net (Loss) Income Attributable to Non-Controlling Interest	(3,569,112)	636,703
Net (Loss) Income Attributable to Common Stockholders	(6,235,636)	1,618,862
Other Comprehensive Loss, Net
Unrealized Loss on Securities Investment	(1,987)	(12,599)
Foreign Currency Translation Adjustment	(1,769,440)	(1,674,021)
Comprehensive (Loss) Income	(11,576,175)	568,945
Comprehensive (Loss) Income Attributable to Non-controlling Interests	(4,328,924)	53,133
Comprehensive (Loss) Income Attributable to Common Stockholders	$ (7,247,251)	$ 515,812
Net (Loss) Income Per Share - Basic and Diluted	$ (0.73)	$ 0.16
Weighted Average Common Shares Outstanding - Basic and Diluted	8,572,222	10,001,000
Property Sales [Member]
Revenue
Total Revenue	$ 3,894,131	$ 2,954,389
Biohealth Product Sales [Member]
Revenue
Total Revenue	$ 1,712,783	$ 10,782

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Consolidated Statements of Stockholders' Equity (Unaudited) - USD ($)	Preferred Stock [Member]	Common Stock [Member]	Additional Paid-In Capital [Member]	Accumulated Other Comprehensive Income [Member]	Accumulated Deficit [Member]	Total Alset EHome International Stockholders' Equity [Member]	Non-Controlling Interest [Member]	Total
Balance at Dec. 31, 2019		$ 10,001	$ 57,924,795	$ 1,458,289	$ (41,973,373)	$ 17,419,712	$ 7,024,783	$ 24,444,495
Balance, shares at Dec. 31, 2019		10,001,000
Subsidiary's Issuance of Stock			1,929,765			1,929,765	302,726	2,232,491
Proceeds from Selling Subsidiary Equity			3,270			3,270	1,730	5,000
Change in Unrealized Gain (Loss) on Investment				(8,240)		(8,240)	(4,359)	(12,599)
Foreign Currency Translations				(1,094,810)		(1,094,810)	(579,211)	(1,674,021)
Distribution to Non-Controlling Shareholders							(197,400)	(197,400)
Net (Income) Loss					1,626,062	1,626,062	629,502	2,255,565
Balance at Mar. 31, 2020		$ 10,001	59,857,830	355,239	(40,347,311)	19,875,760	7,177,771	27,053,530
Balance, shares at Mar. 31, 2020		10,001,000
Balance at Dec. 31, 2020		$ 8,570	102,339,666	2,143,338	(44,793,713)	59,697,861	37,980,325	97,678,186
Balance, shares at Dec. 31, 2020		8,570,000
Issuance of Stock for Services		$ 10	60,890			60,900		60,900
Issuance of Stock for Services, shares		10,000
Transactions under Common Control			(57,190,499)			(57,190,499)		(57,190,499)
Sale of Vivacitas to Related Party			2,279,872			2,279,872		2,279,872
Purchase Stock of True Partner from Related Party			3,274,060			3,274,060		3,274,060
Beneficial Conversion Feature			50,770,192			50,770,192		50,770,192
Subsidiary's Issuance of Stock			46,099			46,099	34,677	80,776
Proceeds from Selling Subsidiary Equity			142,675			142,675	107,325	250,000
Change in Non-Controlling Interest			76,412	(39,067)		37,345	(37,345)
Change in Unrealized Gain (Loss) on Investment				(1,135)		(1,135)	(852)	(1,987)
Foreign Currency Translations				(1,010,527)		(1,010,527)	(758,913)	(1,769,440)
Distribution to Non-Controlling Shareholders							(82,250)	(82,250)
Net (Income) Loss					(6,235,636)	(6,235,636)	(3,569,112)	(9,804,748)
Balance at Mar. 31, 2021		$ 8,580	$ 101,799,367	$ 1,092,609	$ (51,029,349)	$ 51,871,207	$ 33,673,855	$ 85,545,062
Balance, shares at Mar. 31, 2021		8,580,000

XML

Consolidated Statements of Cash Flows (Unaudited) - USD ($)	3 Months Ended
	Mar. 31, 2021	Mar. 31, 2020
Cash Flows from Operating Activities
Net Income (Loss) from Operations	$ (9,804,748)	$ 2,255,565
Adjustments to Reconcile Net Income (Loss) to Net Cash Used in Operating Activities:
Depreciation	7,873	5,942
Amortization of Right -Of - Use Asset	81,013	70,671
Amortization of Debt Discount	553,961
Shared-based Compensation	134,192
Foreign Exchange Transaction Gain	(1,462,697)	(2,296,128)
Unrealized Loss (Gain) on Securities Investment	9,548,251	(458,426)
Loss on Equity Method Investment	24,847
Changes in Operating Assets and Liabilities
Real Estate	441,764	15,952
Account Receivables	203,816	342,575
Prepaid Expense	(1,458,620)	(40,805)
Trading Securities	(2,452,754)
Inventory	77,709	(20,590)
Accounts Payable and Accrued Expenses	596,355	231,421
Accrued Interest - Related Parties	41,239	19,634
Deferred Revenue	563,667	50,270
Operating Lease Liability	(66,954)	(73,668)
Builder Deposits	(333,771)	(285,010)
Net Cash Used in Operating Activities	(3,304,857)	(182,597)
Cash Flows from Investing Activities
Purchase of Fixed Assets	(3,767)	(1,386)
Proceeds from Global Opportunity Fund Liquidation		303,349
Purchase of Investment Securities	(108,208)
Sales of Investment Securities to Related Party	2,480,000
Promissory Note to Related Party	(15,489)	(200,000)
Net Cash Provided by Investing Activities	2,352,536	101,963
Cash Flows from Financing Activities
Proceeds from Exercise of Subsidiary Warrants	7,484
Proceeds from Sale of Subsidiary Shares	250,000	2,210,491
Borrowing from PPP Loan	68,502
Distribution to Non-controlling Interest Shareholders	(82,250)	(197,400)
Net Proceeds from (Repayment to) Notes Payable - Related Parties	(1,200,000)	17,501
Net Cash (Used in) Provided by Financing Activities	(956,264)	2,030,592
Net Increase in Cash and Restricted Cash	(1,908,585)	1,949,958
Effects of Foreign Exchange Rates on Cash	(321,788)	(39,411)
Cash and Restricted Cash - Beginning of Year	31,235,456	8,039,433
Cash and Restricted Cash- End of Period	29,005,083	9,949,980
Supplementary Cash Flow Information
Cash Paid for Interest	6,627	4,181
Cash Paid for Taxes	451,410
Supplemental Disclosure of Non-Cash Investing and Financing Activities
Unrealized Gain on Investment	(1,987)
Initial Recognition of ROU / Lease Liability	256,928
Acquiring True Partner Stock	10,003,689
Sales of Investment in Vivacitas to Related Party	2,279,872
Transactions under Common Control	57,190,499
Beneficial Conversion Feature	$ (50,770,192)

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Nature of Operations and Summary of Significant Accounting Policies

3 Months Ended

Mar. 31, 2021

Organization, Consolidation and Presentation of Financial Statements [Abstract]

Nature of Operations and Summary of Significant Accounting Policies

1. NATURE OF OPERATIONS AND SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES

Nature of Operations

Alset EHome International Inc. (the “Company” or “AEI”), formerly known as HF Enterprises Inc., was incorporated in the State of Delaware on March 7, 2018 and 1,000 shares of common stock was issued to Chan Heng Fai, the founder, Chairman and Chief Executive Officer of the Company. AEI is a diversified holding company principally engaged in property development, digital transformation technology and biohealth businesses with operations in the United States, Singapore, Hong Kong, Australia and South Korea. The Company manages its principal businesses primarily through its subsidiary, Alset International Limited (“Alset International”, f.k.a. Singapore eDevelopment Limited), a company publicly traded on the Singapore Stock Exchange.

The Company has four operating segments based on the products and services offered. These include our three principal businesses – property development, digital transformation technology and biohealth – as well as a fourth category consisting of certain other business activities.

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Summary of Significant Accounting Policies

3 Months Ended

Mar. 31, 2021

Accounting Policies [Abstract]

Summary of Significant Accounting Policies

2. SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES

Basis of Presentation and Principles of Consolidation

The Company’s consolidated financial statements have been prepared in accordance with accounting principles generally accepted in the United States of America (“U.S. GAAP”) and following the requirements of the Securities and Exchange Commission (“SEC”) for interim reporting. These interim financial statements have been prepared on the same basis as the Company’s annual financial statements and, in the opinion of management, reflect all adjustments, consisting only of normal recurring adjustments, which are necessary for a fair statement of the Company’s financial information. These interim results are not necessarily indicative of the results to be expected for the year ending December 31, 2021 or any other interim periods or for any other future years. These unaudited consolidated financial statements should be read in conjunction with the Company’s audited consolidated financial statements and the notes thereto included in the Company’s Form 10-K for the year ended December 31, 2020 filed on April 14, 2021.

The consolidated financial statements include all accounts of the Company and its majority owned and controlled subsidiaries. The Company consolidates entities in which it owns more than 50% of the voting common stock and controls operations. All intercompany transactions and balances among consolidated subsidiaries have been eliminated.

The Company’s consolidated financial statements include the financial position, results of operations and cash flows of the following entities as of March 31, 2021 and December 31, 2020, as follows:

		Attributable interest as of,
Name of subsidiary consolidated under AEI	State or other jurisdiction of incorporation or organization	March 31, 2021			December 31, 2020
			%			%
Hengfai International Pte. Ltd	Singapore		100			100
Hengfai Business Development Pte. Ltd	Singapore		100			100
Heng Fai Enterprises Pte. Ltd.	Singapore		-			100
Global eHealth Limited	Hong Kong		100			100
Alset International Inc. (f.k.a. Singapore eDevelopment Limited)	Singapore		57.1			57.1
Singapore Construction & Development Pte. Ltd.	Singapore		57.1			57.1
Art eStudio Pte. Ltd.	Singapore		29.1	*		29.1	*
Singapore Construction Pte. Ltd.	Singapore		57.1			57.1
Global BioMedical Pte. Ltd.	Singapore		57.1			57.1
Alset Innovation Pte. Ltd. (f.k.a. SeD Investment Pte. Ltd.)	Singapore		57.1			57.1
Health Wealth Happiness Pte. Ltd.	Singapore		57.1			57.1
SeD Capital Pte. Ltd.	Singapore		57.1			57.1
LiquidValue Asset Management Pte. Ltd. (f.k.a. HengFai Asset Management Pte. Ltd.)	Singapore		64.8			46.9	*
SeD Home Limited	Hong Kong		57.1			57.1
SeD Management Pte. Ltd. (f.k.a. SeD Reits Management Pte. Ltd.)	Singapore		57.1			57.1
Global TechFund of Fund Pte. Ltd.	Singapore		57.1			57.1
Singapore eChainLogistic Pte. Ltd.	Singapore		57.1			57.1
BMI Capital Partners International Limited.	Hong Kong		57.1			57.1
SeD Perth Pty. Ltd.	Australia		57.1			57.1
SeD Intelligent Home Inc. (f.k.a SeD Home International, Inc.)	United States of America		57.1			57.1

LiquidValue Development Inc. (f.k.a. SeD Intelligent Home Inc.)	United States of America	57.1		57.1
Alset EHome Inc. (f.k.a. Alset iHome Inc., SeD Home & REITs Inc. and SeD Home, Inc.)	United States of America	57.1		57.1
SeD USA, LLC	United States of America	57.1		57.1
150 Black Oak GP, Inc.	United States of America	57.1		57.1
SeD Development USA Inc.	United States of America	57.1		57.1
150 CCM Black Oak, Ltd.	United States of America	57.1		57.1
SeD Texas Home, LLC	United States of America	57.1		57.1
SeD Ballenger, LLC	United States of America	57.1		57.1
SeD Maryland Development, LLC	United States of America	47.7	*	47.8	*
SeD Development Management, LLC	United States of America	48.5	*	48.6	*
SeD Builder, LLC	United States of America	57.1		57.1
GigWorld Inc. (f.k.a. HotApp Blockchain Inc.)	United States of America	56.9		57.0
HotApp BlockChain Pte. Ltd. (f.k.a. HotApps International Pte. Ltd.)	Singapore	56.9		57.0
HotApp International Limited	Hong Kong	56.9		57.0
HWH International, Inc.	United States of America	57.1		57.1
Health Wealth & Happiness Inc.	United States of America	57.1		57.1
HWH Multi-Strategy Investment, Inc.	United States of America	57.1		57.1
SeDHome Rental Inc	United States of America	57.1		57.1
SeD REIT Inc.	United States of America	57.1		57.1
Gig Stablecoin Inc. (f.k.a. Crypto Exchange Inc.)	United States of America	56.9		57.0
HWH World Inc.	United States of America	56.9		57.0
HWH World Pte. Ltd.	Singapore	56.9		57.0
UBeauty Limited	Hong Kong	57.1		57.1
WeBeauty Korea Inc	Korea	57.1		57.1
HWH World Limited	Hong Kong	57.1		57.1
HWH World Inc.	Korea	57.1		57.1
Alset BioHealth Pte. Ltd.	Singapore	57.1		57.1
Alset Energy Pte. Ltd.	Singapore	57.1		57.1
Alset Payment Inc.	United States of America	57.1		57.1
Alset World Pte. Ltd.	Singapore	57.1		57.1
BioHealth Water Inc.	United States of America	57.1		57.1
Impact BioHealth Pte. Ltd.	Singapore	57.1		57.1
American Home REIT Inc.	United States of America	64.8		46.9	*
Alset Solar Inc.	United States of America	45.7	*	45.7	*
HWH KOR Inc.	United States of America	57.1		57.1
Open House Inc.	United States of America	57.1		57.1
Open Rental Inc.	United States of America	57.1		57.1
Hapi Cafe Inc. (Nevada)	United States of America	57.1		57.1
Global Solar REIT Inc.	United States of America	57.1		57.1
OpenBiz Inc.	United States of America	57.1		57.1
Hapi Cafe Inc. (Texas)	United States of America	100		100
HWH (S) Pte. Ltd.	Singapore	57.1		-
American Pacific Bancorp Inc.	United States of America	86.44		-
Hengfeng Finance Limited	Hong Kong	86.44		-
Decentralize Finance Inc.	United States of America	86.44		-
True Partner International Limited	Hong Kong	100		-
LiquidValue Development Pte. Ltd.	Singapore	100		-
LiquidValue Development Limited.	Hong Kong	100		-

*Although the Company indirectly holds percentage of shares of these entities less than 50%, the subsidiaries of the Company directly hold more than 50% of shares of these entities, and therefore, they are still consolidated into the Company.

Use of Estimates

The preparation of financial statements in conformity with U.S. GAAP requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities and disclosure of contingent assets and liabilities at the dates of the financial statements and the reported amounts of revenues and expenses during the reporting periods. Significant estimates made by management include, but are not limited to, allowance for doubtful accounts, valuation of real estate assets, allocation of development costs and capitalized interest to sold lots, fair value of the investments, the valuation allowance of deferred taxes, and contingencies. Actual results could differ from those estimates.

In our property development business, land acquisition costs are allocated to each lot based on the area method, the size of the lot compared to the total size of all lots in the project. Development costs and capitalized interest are allocated to lots sold based on the total expected development and interest costs of the completed project and allocating a percentage of those costs based on the selling price of the sold lot compared to the expected sales values of all lots in the project.

If allocation of development costs and capitalized interest based on the projection and relative expected sales value is impracticable, those costs could also be allocated based on area method, the size of the lot compared to the total size of all lots in the project.

Transactions between Entities under Common Control

On March 12, 2021, the Company entered into a Securities Purchase Agreement (the “SPA”) with Chan Heng Fai, the founder, Chairman and Chief Executive Officer of the Company, for four proposed transactions, consisting of (i) purchase of certain warrants (the “Warrants”) to purchase 1,500,000,000 shares of Alset International Limited (“Alset International”), which was valued at $28,363,966; (ii) purchase of all of the issued and outstanding stock of LiquidValue Development Pte Ltd. (“LVD”), which was valued at $173,395; (iii) purchase of 62,122,908 ordinary shares in True Partner Capital Holding Limited (HKG: 8657) (“True Partner”), which was valued at $6,729,629; and (iv) purchase of 4,775,523 shares of the common stock of American Pacific Bancorp Inc. (“APB”), which was valued at $28,653,138. The total amount of above four transactions was $63,920,129, payable on the Closing Date by the Company, in the convertible promissory notes (“Alset CPNs”), which, subject to the terms and conditions of the Alset CPNs and the Company’s shareholder approval, shall be convertible into shares of the Company’s common stock (“AEI Common Stock”), par value $0.001 per share, at the conversion price of AEI’s Stock Market Price. AEI’s Stock Market Price shall be $5.59 per share, equivalent to the average of the five closing per share prices of AEI’s Common Stock preceding January 4, 2021 as quoted by Bloomberg L.P. The above four acquisitions from Chan Heng Fai are transactions between entities under common control.

The common control transactions resulted in the following basis of accounting for the financial reporting periods:

● The acquisitions of the Warrants and True Partner stock were accounted for prospectively as of March 12, 2021 and they did not represent a change in reporting entity.

● The acquisitions of LVD and APB were under common control and is consolidated in accordance with ASC 850-50. The consolidated financial statements were retrospectively adjusted for the acquisition of LVD and APB, and the operating results of LVD and APB as of January 1, 2020 for comparative purposes.

AEI stock price was $10.03 on March 12, 2021, the commitment date. The Beneficial Conversion Feature (“BCF”) intrinsic value was $50,770,192 for the four convertible promissory notes and was recorded as debt discount of convertible notes after these transactions. The debt discount attributable to the BCF is amortized over period from issuance to the date that the debt becomes convertible using the effective interest method. If the debt is converted, the discounted is amortized to finance cost in full immediately. As of March 31, 2021, the promissory notes net of debt discount were $13,695,853 and accrued interest was $41,239. During the three months ended on March 31, 2021, the amortized debt discount recorded as finance cost was $545,916.

Cash and Cash Equivalents

The Company considers all highly liquid investments with a maturity of three months or less at the date of acquisition to be cash equivalents. Cash and cash equivalents include cash on hand and at the bank and short-term deposits with financial institutions that are readily convertible to a known amount of cash and are subject to an insignificant risk of changes in values. There were no cash equivalents as of March 31, 2021 and December 31, 2020.

Restricted Cash

As a condition to the loan agreement with the Manufacturers and Traders Trust Company (“M&T Bank”), the Company is required to maintain a minimum of $2,600,000 in an interest-bearing account maintained by the lender as additional security for the loans. The fund is required to remain as collateral for the loan until the loan is paid off in full and the loan agreement is terminated. The Company also has an escrow account with M&T Bank to deposit a portion of cash proceeds from lot sales. The fund in the escrow account is specifically used for the payment of the loan from M&T Bank. The fund is required to remain in the escrow account for the loan payment until the loan agreement terminates. As of March 31, 2021 and December 31, 2020, the total balance of these two accounts was $8,099,097 and $5,729,067, respectively.

As a condition to the loan agreement with National Australian Bank Limited in conjunction with the Perth project, an Australian real estate development project, the Company is required to maintain Australian Dollar 50,000, in a non-interest-bearing account. As of March 31, 2021 and December 31, 2020, the account balance was $38,043 and $38,550, respectively. These funds will remain as collateral for the loans until paid in full.

The Company puts money into brokerage accounts specifically for equity investment. As of March 31, 2021 and December 31, 2020, the cash balance in these brokerage accounts was $499,251 and $1,001,916, respectively.

Account Receivables and Allowance for Doubtful Accounts

Account receivables is stated at amounts due from buyers, contractors, and all third parties, net of an allowance for doubtful accounts. As of March 31, 2021 and December 31, 2020, the balance of account receivables was $1,062,278 and $1,366,194, respectively. Approximately $0.9 million and $1.3 million of account receivables as of March 31, 2021 and December 31, 2020, respectively, was from DSS with a merchant agreement, under which the Company uses DSS credit card platform to collect money from our direct sales.

The Company monitors its account receivables balances monthly to ensure that they are collectible. On a quarterly basis, the Company uses its historical experience to estimate its allowance for doubtful account receivables. The Company’s allowance for doubtful accounts represents an estimate of the losses expected to be incurred based on specifically identified accounts as well as nonspecific amount, when determined appropriate. Generally, the amount of the allowance is primarily decided by division management’s historical experience, the delinquency trends, the resolution rates, the aging of receivables, the credit quality indicators and financial health of specific customers. As of March 31, 2021 and December 31, 2020, the allowance was $0.

Inventories

Inventories are stated at the lower of cost or net realizable value. Cost is determined using the first-in, first-out method and includes all costs in bringing the inventories to their present location and condition. Net realizable value is the estimated selling price in the ordinary course of business less the estimated costs necessary to make the sale. As of March 31, 2021 and December 31, 2020, inventory consisted of finished goods from HWH World Inc. The Company continuously evaluates the need for reserve for obsolescence and possible price concessions required to write-down inventories to net realizable value.

Investment Securities

Investment Securities at Fair Value

The Company holds investments in equity securities with readily determinable fair values, equity investments without readily determinable fair values, investments accounted for under the equity method, and investments at cost.

Prior to the adoption of Financial Accounting Standards Board (“FASB”) Accounting Standards Update (“ASU”) 2016-01, Financial Instruments-Overall (Subtopic 825-10): Recognition and Measurement of Financial Assets and Financial Liabilities, investments in equity securities were classified as either 1) available-for-sale securities, stated at fair value, and unrealized holding gains and losses, net of related tax effects, were recorded directly to accumulated other comprehensive income (loss) or 2) trading securities, stated at fair value, and unrealized holding gains and losses, net of related tax benefits, were recorded directly to net income (loss). With the adoption of ASU 2016-01 on January 1, 2018, investments in equity securities are still stated at fair value, quoted by market prices, but all unrealized holding gains and losses are credited or charged to net income (loss) based on fair value measurement as the respective reporting date.

The Company accounts for certain of its investments in equity securities in accordance with ASU 2016-01 Financial Instruments—Overall (Subtopic 825- 10): Recognition and Measurement of Financial Assets and Financial Liabilities (“ASU 2016-01”). In accordance with ASU 2016-01, the Company records all equity investments with readily determinable fair values at fair value calculated by the publicly traded stock price at the close of the reporting period. Amarantus BioScience Holdings (“AMBS”) and Ture Partner Capital Holding Limited (“True Partner”) are publicly traded companies. The Company does not have significant influence over AMBS and True Partner, as the Company is the beneficial owner of approximately 5.4% of the common shares of AMBS and 15.5% of True Partner. The stock’s fair value is determined by quoted stock prices.

The Company has elected the fair value option for the equity securities noted below that would otherwise be accounted for under the equity method of accounting. Holista CollTech Limited (“Holista”), Document Securities Systems Inc. (“DSS”), OptimumBank Holdings, Inc. (“OptimumBank”) and American Premium Water Corp (“APW”) are publicly traded companies and fair value is determined by quoted stock prices. The Company has significant influence but does not have a controlling interest in these investments, and therefore, the Company’s investment could be accounted for under the equity method of accounting or elect fair value accounting.

● The Company has significant influence over DSS. As of March 31, 2021 and December 31, 2020, the Company owned the common stock of DSS and 42,575 shares of preferred stock, which could covert to 6,570,216 common shares, subject to a 19.9% beneficial ownership conversion limitation (a so-called “blocker”) based on the total issued outstanding shares of common stock of DSS beneficially owned by Global BioMedical Pte Ltd (“GBM”), one of our subsidiaries. Our CEO is a Stockholder and the Chairman of the Board of Directors of DSS. Chan Tung Moe, the son of Chan Heng Fai, is also a director of DSS.

● The Company has significant influence over Holista as the Company and its CEO are the beneficial owner of approximately 16.8% of the outstanding shares of Holista and our CEO holds a position on Holista’s Board of Directors.

● The Company has significant influence over OptimumBank. Our CEO is the beneficial owner of approximately 3.9% of the outstanding shares of OptimumBank and holds a position on OptimumBank’s Board of Directors.

● The Company has significant influence over APW as the Company is the beneficial owner of approximately 8.7% of the common shares of APW and one officer from the Company holds a director position on APW’s Board of Directors.

The Company invested $50,000 in a convertible promissory note of Sharing Services, Inc. (“Sharing Services Convertible Note”), a company quoted on the US OTC market. The value of the convertible note was estimated by management using a Black-Scholes valuation model. The fair value of the note was $64,991 and $66,978 on March 31, 2021 and December 31, 2020, respectively.

On February 26, 2021, the Company invested approximately $88,599 in the convertible note of Vector Com Co., Ltd (“Vector Com”), a private company in South Korea. The interest rate is 2% per annum and maturity is two years. The conversion price is approximately $21.26, per common share of Vector Com. As of March 31, 2021, the Management estimated that the fair value of the note to be $88,599, the initial transaction price.

On March 2, 2020, the Company received warrants to purchase shares of American Medical REIT Inc. (“AMRE”), a related party private startup company, in conjunction with the Company lending a $200,000 promissory note. For further details on this transaction, refer to Note 8 - Related Party Transactions, Note Receivable from a Related Party Company. As of March 31, 2021 and December 31, 2020, AMRE was a private company. Based on management’s analysis, the fair value of the AMRE warrants and the stock option was $0 as of March 31, 2021 and December 31, 2020.

The Company held a stock option to purchase 250,000 shares of Vivacitas common stock at $1 per share at any time prior to the date of a public offering by Vivacitas. As of December 31, 2020, Vivacitas was a private company. Based on management’s analysis, the fair value of the Vivacitas stock option was $0 as of December 31, 2020. On March 18, 2021 the Company sold the subsidiary holding the ownership in Vivacitas to an indirect subsidiary of DSS. For further details on this transaction, refer to Note 9 - Related Party Transactions, Sale of Investment in Vivacitas to DSS.

In the first quarter of 2021, the Company subsidiaries established a portfolio of trading securities. The objective is to generate profits on short-term differences in market prices. During the three months ended March 31, 2021, the Company incurred approximately $4.6 million in purchase of trading securities, received approximately $1.9 million for sale and $285,245 was recognized as realized loss on securities investment.

Investment Securities at Cost

The Company had an equity holding in Vivacitas Oncology Inc. (“Vivacitas”), a private company that is currently not listed on an exchange. Vivacitas was acquired after the adoption of ASU 2016-01. The Company applied ASC 321, Investments – Equity Securities, and elected the measurement alternative for equity investments that do not have readily determinable fair values and do not qualify for the practical expedient in ASC 820 to estimate fair value using the NAV per share. Under the alternative, we measure Vivacitas at cost, less any impairment, plus or minus changes resulting from observable price changes in orderly transactions for an identical or similar investment of the same issuer. Ownership in Vivacitas was sold on March 18, 2021 at the price of $2,480,000 to DSS. The difference of $2,279,872 between the selling price and our original investment cost was recorded as additional paid capital considering a related party transaction. For further details on this transaction, refer to Note 9 – Related Party Transactions.

On September 8, 2020, the Company acquired 1,666 shares, approximately 1.45% ownership, from Nervotec Pte Ltd (“Nervotec”), a private company, at the purchase price of $37,826. The Company applied ASC 321 and measured Nervotec at cost, less any impairment, plus or minus changes resulting from observable price changes in orderly transactions for an identical or similar investment of the same issuer.

On September 30, 2020, the Company acquired 20,000 shares, approximately 19% ownership, from Hyten Global (Thailand) Co., Ltd (“Hyten”), a private company, at a purchase price of $42,562. Hyten is a direct sales company in Thailand. The Company does not have significant influence over Hyten and applied ASC 321 and measured Hyten at cost, less any impairment, plus or minus changes resulting from observable price changes in orderly transactions for an identical or similar investment of the same issuer.

In the first quarter of 2021, the Company invested $19,609 in K Beauty Research Lab Co., Ltd (“K Beauty”) for 18% ownership. K Beauty was established for sourcing, developing and producing variety of Korea-made beauty products as well as Korea - originated beauty contents for the purpose of distribution to HWH’s membership distribution channel.

There has been no indication of impairment or changes in observable prices via transactions of similar securities and investments are still carried at cost.

Investment Securities under Equity Method Accounting

American Medical REIT Inc.

LiquidValue Asset Management Pte. Ltd. (“LiquidValue”), a subsidiary of the Company owns 36.1% of American Medical REIT Inc. (“AMRE”), a startup REIT company concentrating on medical real estate. AMRE acquires state-of-the-art, purpose-built healthcare facilities and leases them to leading clinical operators with dominant market share under secure triple net leases. AMRE targets hospitals (both Critical Access and Specialty Surgical), Physician Group Practices, Ambulatory Surgical Centers, and other licensed medical treatment facilities. Chan Heng Fai, our CEO, is the executive chairman and director of AMRE. LiquidValue did not invest equity but provided a loan to AMRE (for further details on this transaction, refer to Note 9, Related Party Transactions). On balance sheet, the prorate loss from AMRE was recorded as a liability, accumulated losses on equity method investment. During three months ended March 31, 2021 and 2020, the investment losses from AMRE were $24,847 and $0, respectively. As of March 31, 2021 and December 31, 2020, the accumulated losses on equity method investment were $290,776 and $265,929, respectively.

Real Estate Assets

Real estate assets are recorded at cost, except when real estate assets are acquired that meet the definition of a business combination in accordance with Financial Accounting Standards Board (“FASB”) ASC 805 - “Business Combinations”, which acquired assets are recorded at fair value. Interest, property taxes, insurance and other incremental costs (including salaries) directly related to a project are capitalized during the construction period of major facilities and land improvements. The capitalization period begins when activities to develop the parcel commence and ends when the asset constructed is completed. The capitalized costs are recorded as part of the asset to which they relate and are reduced when lots are sold.

The Company capitalized construction costs of approximately $1.2 million and $2.4 million for the three months ended March 31, 2021 and 2020, respectively.

The Company’s policy is to obtain an independent third-party valuation for each major project in the United States as part of our assessment of identifying potential triggering events for impairment. Management may use the market comparison method to value other relatively small projects, such as the project in Perth, Australia. In addition to the annual assessment of potential triggering events in accordance with ASC 360 – Property Plant and Equipment (“ASC 360”), the Company applies a fair value-based impairment test to the net book value assets on an annual basis and on an interim basis if certain events or circumstances indicate that an impairment loss may have occurred.

The Company did not record impairment on any of its projects during the three months ended on March 31, 2021 and 2020.

Properties under development

Properties under development are properties being constructed for sale in the ordinary course of business, rather than to be held for the Company’s own use, rental or capital appreciation.

Rental Properties

Rental properties are acquired with the intent to be rented to tenants. On March 15, 2021 Alset EHome, Inc. signed twenty separate Purchase Agreements, to acquire 20 homes in Montgomery County, Texas. On March 31, 2021, the first batch of 10 homes was closed with the purchase cost of $2,161,680. All of these purchased homes are properties of our rental business.

Revenue Recognition and Cost of Sales

ASC 606 - Revenue from Contracts with Customers (“ASC 606”), establishes principles for reporting information about the nature, amount, timing and uncertainty of revenue and cash flows arising from the entity’s contracts to provide goods or services to customers. The Company adopted this new standard on January 1, 2018 under the modified retrospective method. The adoption of this new standard did not have a material effect on our financial statements.

In accordance with ASC 606, revenue is recognized when a customer obtains control of promised goods or services. The amount of revenue recognized reflects the consideration to which the Company expects to be entitled to receive in exchange for these goods or services. The provisions of ASC 606 include a five-step process by which the determination of revenue recognition, depicting the transfer of goods or services to customers in amounts reflecting the payment to which the Company expects to be entitled in exchange for those goods or services. ASC 606 requires the Company to apply the following steps:

(1) identify the contract with the customer; (2) identify the performance obligations in the contract; (3) determine the transaction price; (4) allocate the transaction price to the performance obligations in the contract; and (5) recognize revenue when, or as, performance obligations are satisfied.

The following represents the Company’s revenue recognition policies by Segments:

Property Development

Property Sales

The Company’s main business is land development. The Company purchases land and develops it for building into residential communities. The developed lots are sold to builders (customers) for the construction of new homes. The builders enter a sales contract with the Company before they take the lots. The prices and timeline are determined and agreed upon in the contract. The builders do the inspections to make sure all conditions and requirements in contracts are met before purchasing the lots. A detailed breakdown of the five-step process for the revenue recognition of the Ballenger and Black Oak projects, which represented approximately 69% and 100%, respectively, of the Company’s revenue in the three months ended on March 31, 2021 and 2020, is as follows:

● Identify the contract with a customer.

The Company has signed agreements with the builders for developing the raw land to ready to build lots. The contract has agreed upon prices, timelines, and specifications for what is to be provided.

● Identify the performance obligations in the contract.

Performance obligations of the Company include delivering developed lots to the customer, which are required to meet certain specifications that are outlined in the contract. The customer inspects all lots prior to accepting title to ensure all specifications are met.

● Determine the transaction price.

The transaction price per lot is fixed and specified in the contract. Any subsequent change orders or price changes are required to be approved by both parties.

● Allocate the transaction price to performance obligations in the contract.

Each lot or a group of lots is considered to be a separate performance obligation, for which the specified price in the contract is allocated to.

● Recognize revenue when (or as) the entity satisfies a performance obligation.

The builders do the inspections to make sure all conditions/requirements are met before taking title of lots. The Company recognizes revenue at a point in time when title is transferred. The Company does not have further performance obligations or continuing involvement once title is transferred.

Sale of the Front Foot Benefit Assessments

We have established a front foot benefit (“FFB”) assessment on all of the NVR lots. This is a 30-year annual assessment allowed in Frederick County which requires homeowners to reimburse the developer for the costs of installing public water and sewer to the lots. These assessments become effective as homes are settled, at which time we can sell the collection rights to investors who will pay an upfront lump sum, enabling us to realize the revenue more quickly. The selling prices range from $3,000 to $4,500 per home depending on the type of the home. Our total revenue from the front foot benefit assessment is approximately $1 million. To recognize revenue of FFB assessment, both our and NVR’s performance obligation must be satisfied. Our performance obligation is completed once we complete the construction of water and sewer facility and close the lot sales with NVR, which inspects these water and sewer facility prior to close lot sales to ensure all specifications are met. NVR’s performance obligation is to sell homes they build to homeowners. Our FFB revenue is recognized on quarterly basis after NVR closes sales of homes to homeowners. The agreement with these FFB investors is not subject to amendment by regulatory agencies and thus our revenue from FFB assessment is not either. During the three months ended on March 31, 2021 and 2020, we recognized revenue $107,071 and $40,322 from FFB assessment, respectively.

Cost of Sales

Land acquisition costs are allocated to each lot based on the area method, the size of the lot comparing to the total size of all lots in the project. Development costs and capitalized interest are allocated to lots sold based on the total expected development and interest costs of the completed project and allocating a percentage of those costs based on the selling price of the sold lot compared to the expected sales values of all lots in the project.

If allocation of development costs and capitalized interest based on the projection and relative expected sales value is impracticable, those costs could also be allocated based on area method, the size of the lot comparing to the total size of all lots in the project.

Biohealth

Product Direct Sales

The Company’s net sales consist of product sales. The Company’s performance obligation is to transfer its products to its third-party independent distributors (“Distributors”). The Company generally recognizes revenue when product is shipped to its Distributors.

The Company’s Distributors may receive distributor allowances, which are comprised of discounts, rebates and wholesale commission payments from the Company. Distributor allowances resulting from the Company’s sales of its products to its Distributors are recorded against net sales because the distributor allowances represent discounts from the suggested retail price.

In addition to distributor allowances, the Company compensates its sales leader Distributors with leadership incentives for services rendered, relating to the development, retention, and management of their sales organizations. Leadership incentives are payable based on achieved sales volume, which are recorded in general and administrative expenses. The Company recognizes revenue when it ships products. The Company receives the net sales price in cash or through credit card payments at the point of sale.

If a Distributor returns a product to the Company on a timely basis, he/she may obtain a replacement product from the Company for such returned products. In addition, the Company maintains a buyback program pursuant to which it will repurchase products sold to a Distributor who has decided to leave the business. Allowances for product returns, primarily in connection with the Company’s buyback program, are provided at the time the sale is recorded. This accrual is based upon historical return rates for each country and the relevant return pattern, which reflects anticipated returns to be received over a period of up to 12 months following the original sale.

Annual Membership

The Company collects an annual membership fee from its Distributors. The fee is fixed, paid in full at the time of joining the membership and non-refundable. The membership provides the member access to purchase products at a discount, use to certain back-office services, receive commissions for signing up new members, and attend corporate events. The Company recognizes revenue associated with the membership over the period of the membership. Before the membership fee is recognized as revenue, it is recorded as deferred revenue. Deferred revenue relating to membership was $3,430,893 and $2,867,226 at March 31, 2021 and December 31, 2020, respectively.

Other Businesses

Remaining performance obligations

As of March 31, 2021 and December 31, 2020, there were no remaining performance obligations or continuing involvement, as all service obligations within the other business activities segment have been completed.

Foreign currency

Functional and reporting currency

Items included in the financial statements of each entity in the Company are measured using the currency of the primary economic environment in which the entity operates (“functional currency”). The financial statements of the Company are presented in U.S. dollars (the “reporting currency”).

The functional and reporting currency of the Company is the United States dollar (“U.S. dollar”). The financial records of the Company’s subsidiaries located in Singapore, Hong Kong, Australia and South Korea are maintained in their local currencies, the Singapore Dollar (S$), Hong Kong Dollar (HK$), Australian Dollar (“AUD”) and South Korean Won (“KRW”), which are also the functional currencies of these entities.

Transactions in foreign currencies

Transactions in currencies other than the functional currency during the periods are converted into functional currency at the applicable rates of exchange prevailing when the transactions occurred. Transaction gains and losses are recognized in the statement of operations.

The majority of the Company’s foreign currency transaction gains or losses come from the effects of foreign exchange rate changes on the intercompany loans between Singapore entities and U.S. entities. The Company recorded foreign exchange gain of $1,462,697 and $2,260,482 during the three months ended on March 31, 2021 and 2020, respectively. The foreign currency transactional gains and losses are recorded in operations.

Translation of consolidated entities’ financial statements

Monetary assets and liabilities denominated in currencies other than the functional currency are translated into the functional currency at the rates of exchange ruling at the balance sheet date. The Company’s entities with functional currency of Singapore Dollar, Hong Kong Dollar, AUD and KRW, translate their operating results and financial positions into the U.S. dollar, the Company’s reporting currency. Assets and liabilities are translated using the exchange rates in effect on the balance sheet date. Revenue, expense, gains and losses are translated using the average rate for the year. Translation adjustments are reported as cumulative translation adjustments and are shown as a separate component of comprehensive income (loss).

For the three months ended on March 31, 2021, the Company recorded other comprehensive loss from foreign currency translation of $1,769,440 and a $1,674,021 loss in the three months ended March 31, 2020, in accumulated other comprehensive loss.

Non-controlling interests

Non-controlling interests represent the equity in subsidiary not attributable, directly or indirectly, to owners of the Company, and are presented separately in the consolidated statements of operation and comprehensive income, and within equity in the Consolidated Balance Sheets, separately from equity attributable to owners of the Company.

On March 31, 2021 and December 31, 2020, the aggregate non-controlling interests in the Company were $33,673,855 and $37,980,325, respectively.

Capitalized Financing Costs

Financing costs, such as loan origination fee, administration fee, interests and other related financing costs, should be capitalized and recorded on the balance sheet if these financing activities are directly associated with the development of real estates.

Capitalized Financing Costs are allocated to lots sold based on the total expected development and interest costs of the completed project and allocating a percentage of those costs based on the selling price of the sold lot compared to the expected sales values of all lots in the project. If the allocation of capitalized financing costs based on the projection and relative expected sales value is impracticable, those costs could also be allocated based on an area method, which uses the size of the lots compared to the total project area and allocates costs based on their size.

As of March 31, 2021 and December 31, 2020, the capitalized financing costs were $3,348,112 and $3,513,535, respectively.

Beneficial Conversion Features

The Company evaluates the conversion feature for whether it was beneficial as described in ASC 470-30. The intrinsic value of a beneficial conversion feature inherent to a convertible note payable, which is not bifurcated and accounted for separately from the convertible note payable and may not be settled in cash upon conversion, is treated as a discount to the convertible note payable. This discount is amortized over the period from the date of issuance to the date the note is due using the effective interest method. If the note payable is retired prior to the end of its contractual term, the unamortized discount is expensed in the period of retirement to interest expense. In general, the beneficial conversion feature is measured by comparing the effective conversion price, after considering the relative fair value of detachable instruments included in the financing transaction, if any, to the fair value of the shares of common stock at the commitment date to be received upon conversion.

Recent Accounting Pronouncements

Accounting pronouncement not yet adopted

In June 2016, the FASB issued ASU No. 2016-13, “Financial Instruments - Credit Losses (Topic 326): Measurement of Credit Losses on Financial Instruments” (“ASU 2016-13”). ASU 2016-13 requires financial assets measured at amortized cost to be presented at the net amount expected to be collected. The measurement of expected credit losses is based on relevant information about past events, including historical experience, current conditions, and reasonable and supportable forecasts that affect the collectability of the reported amounts. An entity must use judgment in determining the relevant information and estimation methods that are appropriate in its circumstances. ASU 2016-13 is effective for annual reporting periods beginning after December 15, 2019, including interim periods within those fiscal years, and a modified retrospective approach is required, with a cumulative-effect adjustment to retained earnings as of the beginning of the first reporting period in which the guidance is effective. In November of 2019, the FASB issued ASU 2019-10, which delayed the implementation of ASU 2016-13 to fiscal years beginning after December 15, 2022 for smaller reporting companies. The Company is currently evaluating the impact of ASU 2016-13 on its future consolidated financial statements.

In March 2020, the FASB issued ASU 2020-04, Reference Rate Reform (Topic 848): Facilitation of Reference Rate Reform on Financial Reporting. The amendments in this Update provide optional expedients and exceptions for applying generally accepted accounting principles (GAAP) to contracts, hedging relationships, and other transactions affected by reference rate reform if certain criteria are met. The amendments in this Update apply only to contracts, hedging relationships, and other transactions that reference LIBOR or another reference rate expected to be discontinued because of reference rate reform. The Company’s line of credit agreement provides procedures for determining a replacement or alternative rate in the event that LIBOR is unavailable. The amendments in this Update are effective for all entities as of March 12, 2020 through December 31, 2022. The Company is currently evaluating the impact of ASU 2020-04 on its future consolidated financial statements.

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Concentrations

3 Months Ended

Mar. 31, 2021

Risks and Uncertainties [Abstract]

Concentrations

3. CONCENTRATIONS

The Company maintains cash balances at various financial institutions in different countries. These balances are usually secured by the central banks’ insurance companies. At times, these balances may exceed the insurance limits. As of March 31, 2021 and December 31, 2020, uninsured cash and restricted cash balances were $26,238,531 and $25,752,637, respectively.

For the three months ended March 31, 2021, two customers accounted for approximately 97%, and 3% of the Company’s property and development revenue. For the three months ended March 31, 2020, two customers accounted for approximately 99%, and 1% of the Company’s property and development revenue.

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Segments

3 Months Ended

Mar. 31, 2021

Segment Reporting [Abstract]

Segments

4. SEGMENTS

Operating segments are defined as components of an enterprise about which separate financial information is available that is evaluated regularly by the chief operating decision maker, or decision–making group, in deciding how to allocate resources and in assessing performance. The Company’s chief operating decision-maker is the CEO. The Company operates in and reports four business segments: property development, digital transformation technology, biohealth, and other business activities. The Company’s reportable segments are determined based on the services they perform and the products they sell, not on the geographic area in which they operate. The Company’s chief operating decision maker evaluates segment performance based on segment revenue. Costs excluded from segment income (loss) before taxes and reported as “Other” consist of corporate general and administrative activities which are not allocable to the four reportable segments.

The following table summarizes the Company’s segment information for the following balance sheet dates presented, and for the three months ended March 31, 2021 and 2020:

	Property Development			Digital Transformation Technology			Biohealth Business			Other			Total
Three Months Ended March 31, 2021
Revenue	$	3,894,131		$	-		$	1,712,783		$	-		$	5,606,914
Cost of Sales		(3,614,832	)		-			(83,022	)		-			(3,697,854	)
Gross Margin		279,299			-			1,629,761			-			1,909,060
Operating Expenses		(359,489	)		(30,128	)		(846,480	)		(1,076,408	)		(2,312,505	)
Operating Income (Loss)		(80,190	)		(30,128	)		783,281			(1,076,408	)		(403,445	)
Other Income (Expense)		(9,873	)		(36,471	)		(8,371,117	)		(532,505	)		(8,949,966	)
Net Income (Loss) Before Income Tax		(90,063	)		(66,599	)		(7,587,836	)		(1,608,913	)		(9,353,411	)

	Property Development			Digital Transformation Technology			Biohealth Business			Other			Total
Three Months ended March 31, 2020
Revenue	$	2,954,389		$	-		$	10,782		$	-		$	2,965,171
Cost of Sales		(2,380,820	)		-			(2,883	)		-			(2,383,703	)
Gross Margin		573,569			-			7,899			-			581,468
Operating Expenses		(277,056	)		(18,228	)		(132,791	)		(575,784	)		(1,003,859	)
Operating Income (Loss)		296,513			(18,228	)		(124,892	)		(575,784	)		(422,391	)
Other Income (Expense)		7,539			(92,477	)		193			2,762,701			2,677,956
Net Income (Loss) Before Income Tax		304,052			(110,705	)		(124,699	)		2,186,917			2,255,565
March 31, 2021
Cash and Restricted Cash	$	9,842,218		$	154,738		$	3,251,622		$	15,756,505		$	29,005,083
Total Assets		30,877,470			154,840			43,241,793			34,523,886			108,797,989
December 31, 2020
Cash and Restricted Cash	$	8,150,769		$	158,058		$	1,590,265		$	21,336,364		$	31,235,456
Total Assets		28,954,484			158,160			524,603			77,574,674			107,211,921

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Business Under Common Control

3 Months Ended

Mar. 31, 2021

Business Under Common Control

Business Under Common Control

5. BUSINESS UNDER COMMON CONTROL

Due to the transactions with Chan Heng Fai on March 12, 2021, transactions between entities under common control (for further details on these transactions, refer to Note 2 – Summary of Significant Accounting Policies), the Company has disclosed the Consolidated Statement of Operations and Other Comprehensive Income for the Three Months Ended on March 31, 2020 and Consolidated Balance Sheet as of December 31, 2020, to adjust the information on a consolidated basis as follows:

Consolidated Statement of Operations and Other Comprehensive Income for the Three Months Ended on March 31, 2020

	As Previously Reported			Acquisition of APB under Common Control			Acquisition of LVD Ltd under Common Control			As Combined
Revenue
Property Sales	$	2,954,389		$	-		$	-		$	2,954,389
Biohealth Product Sales		10,782			-			-			10,782
		2,965,171			-			-			2,965,171
Operating Expenses
Cost of Sales		2,383,703			-			-			2,383,703
General and Administrative		920,124			81,226			500			1,001,850
Research and Development		2,009			-			-			2,009
Total Operating Expenses		3,305,836			81,226			500			3,387,562
Loss From Operations		(340,665	)		(81,226	)		(500	)		(422,391	)
Other Income (Expense)
Interest Income		7,810			11,580			25			19,415
Interest Expense		(60,931	)		-			-			(60,931	)
Foreign Exchange Transaction Gain (Loss)		2,118,952			-			141,530			2,260,482
Unrealized Gain (Loss) on Securities Investment		484,362			(26,034	)		94			458,422
Finance Costs		-			(4,890	)		(13	)		(4,903	)
Other Income		5,471			-			-			5,471
Total Other Income (Expense), Net		2,555,664			(19,344	)		141,636			2,677,956
Net Income (Loss) Before Income Taxes		2,214,999			(100,570	)		141,136			2,255,565
Income Tax		-			-			-			-
Net Income (Loss)		2,214,999			(100,570	)		141,136			2,255,565
Net Income (Loss) Attributable to Non-Controlling Interest		643,139			(6,436	)		-			636,703
Net Income (Loss) Attributable to Common Stockholders	$	1,571,860		$	(94,134	)	$	141,136		$	1,618,862
Other Comprehensive Loss, Net
Unrealized Loss on Securities Investment		(12,599	)		-			-			(12,599	)
Foreign Currency Translation Adjustment		(1,674,021	)		-			-			(1,674,021	)
Comprehensive Income (Loss)		528,379			(100,570	)		141,136			568,945
Comprehensive Income (Loss) Attributable to Non-controlling Interests		59,569			(6,436	)		-			53,133
Comprehensive Income (Loss) Attributable to Common Stockholders	$	468,810		$	(94,134	)	$	141,136		$	515,812
Net Income Per Share - Basic and Diluted	$	0.16								$	0.16
Weighted Average Common Shares Outstanding - Basic and Diluted		10,001,000									10,001,000

Consolidated Balance Sheet as of December 31, 2020

	As Previously Reported			Acquisition of APB under Common Control			Acquisition of LVD Ltd under Common Control			Eliminations			As Combined
Assets:
Current Assets:
Cash	$	22,124,491		$	1,848,455		$	492,977		$	-		$	24,465,923
Restricted Cash		6,769,533			-			-			-			6,769,533
Account Receivables, Net		1,366,194			-			-			-			1,366,194
Other Receivables		270,222			279,177			95,177			-			644,576
Note Receivables - Related Party		624,986			24,583			-			-			649,569
Prepaid Expenses		1,470,680			-			-			-			1,470,680
Inventory		90,068			-			-			-			90,068
Investment in Securities at Fair Value		48,857,483			313,343			1,631			-			49,172,457
Investment in Securities at Cost		280,516			-			-			-			280,516
Investment in Securities on Equity Method		-			-			74,535			(74,535	)		-
Deposits		47,019			-			-			-			47,019
Total Current Assets		81,901,192			2,465,558			664,320			(74,535	)		84,956,535
Real Estate
Properties under Development		20,505,591			-			-			-			20,505,591
Operating Lease Right-Of-Use Asset		574,754			-			-			-			574,754
Deposit		249,676			-			-			-			249,676
Loan Receivable		-			840,000			-			-			840,000
Property and Equipment, Net		85,365			-			-			-			85,365
Total Assets	$	103,316,578		$	3,305,558		$	664,320		$	(74,535	)	$	107,211,921
Liabilities and Stockholders’ Equity:
Current Liabilities:
Accounts Payable and Accrued Expenses	$	1,553,132		$	117,188		$	-		$	-		$	1,670,320
Deferred Revenue		2,867,226			-			-			-			2,867,226
Builder Deposits		1,262,336			-			-			-			1,262,336
Operating Lease Liability		381,412			-			-			-			381,412
Note Payable		172,706			-			-			-			172,706
Note Payable- Related Parties		1,526,208			-			823,823			-			2,350,031
Total Current Liabilities		7,763,020			117,188			823,823			-			8,704,031
Long-Term Liabilities:
Builder Deposits		-			-			-			-			-
Operating Lease Liability		193,342			-			-			-			193,342
Notes Payable		636,362			-			-			-			636,362
Total Liabilities		8,592,724			117,188			823,823			-			9,533,735
Stockholders’ Equity:
Common Stock		8,570			47,756			-			(47,756	)		8,570
Additional Paid In Capital		97,950,440			3,584,982			756,487			47,756			102,339,666
Accumulated Deficit		(43,010,991	)		(876,712	)		(906,010	)		-			(44,793,713	)
Accumulated Other Comprehensive Income		2,153,318			-			(9,980	)		-			2,143,338
Total Stockholders’ Equity		57,101,337			2,756,027			(159,503	)		-			59,697,861
Non-controlling Interests		37,622,517			432,343			-			(74,535	)		37,980,325
Total Stockholders’ Equity		94,723,854			3,188,370			(159,503	)		(74,535	)		97,678,186
Total Liabilities and Stockholders’ Equity	$	103,316,578		$	3,305,558		$	664,320		$	(74,535	)	$	107,211,921

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Real Estate Assets

3 Months Ended

Mar. 31, 2021

Real Estate [Abstract]

Real Estate Assets

6. REAL ESTATE ASSETS

As of March 31, 2021 and December 31, 2020, real estate assets consisted of the following:

	March 31, 2021		December 31, 2020
Construction in Progress	$	7,465,347	$	9,567,841
Land Held for Development		10,638,686		10,937,750
Rental Properties		2,161,680		-
Total Real Estate Assets	$	20,265,713	$	20,505,591

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Builder Deposits

3 Months Ended

Mar. 31, 2021

Builder Deposits Abstract

Builder Deposits

7. BUILDER DEPOSITS

In November 2015, SeD Maryland Development, LLC (“SeD Maryland”) entered into lot purchase agreements with NVR, Inc. (“NVR”) relating to the sale of single-family home and townhome lots to NVR in the Ballenger Run Project. The purchase agreements were amended three times thereafter. Based on the agreements, NVR is entitled to purchase 479 lots for a price of approximately $64,000,000, which escalates 3% annually after June 1, 2018.

As part of the agreements, NVR was required to give a deposit in the amount of $5,600,000. Upon the sale of lots to NVR, 9.9% of the purchase price is taken as payback of the deposit. A violation of the agreements by NVR would cause NVR to forfeit the deposit. On January 3, 2019 and April 28, 2020, NVR gave SeD Maryland two more deposits in the amounts of $100,000 and $220,000, respectively, based on the 3rd Amendment to the Lot Purchase Agreement. On March 31, 2021 and December 31, 2020, there were $928,565 and $1,262,336 held on deposit, respectively.

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Notes Payable

3 Months Ended

Mar. 31, 2021

Debt Disclosure [Abstract]

Notes Payable

8. NOTES PAYABLE

As of March 31, 2021 and December 31, 2020, notes payable consisted of the following:

	March 31, 2021		December 31, 2020
M&T Bank Loan, Net of Debt Discount		651,034		636,362
PPP Loan		68,502		-
Australia Loan		170,433		172,706
Total notes payable	$	889,969	$	809,068

M&T Bank Loan

On April 17, 2019, SeD Maryland Development LLC entered into a Development Loan Agreement with Manufacturers and Traders Trust Company (“M&T Bank”) in the principal amount not to exceed at any one time outstanding the sum of $8,000,000, with a cumulative loan advance amount of $18,500,000. The line of credit bears interest rate on LIBOR plus 375 basis points. SeD Maryland Development LLC was also provided with a Letter of Credit (“L/C”) Facility in an aggregate amount of up to $900,000. The L/C commission will be 1.5% per annum on the face amount of the L/C. Other standard lender fees will apply in the event L/C is drawn down. The loan is a revolving line of credit. The L/C Facility is not a revolving loan, and amounts advanced and repaid may not be re-borrowed. Repayment of the Loan Agreement is secured by $2,600,000 collateral fund and a Deed of Trust issued to the Lender on the property owned by SeD Maryland. As of March 31, 2021, the outstanding balance of the revolving loan was $0. As part of the transaction, the Company incurred loan origination fees and closing fees in the amount of $381,823 and capitalized it into construction in process.

On June 18, 2020, Alset EHome Inc. (“Alset EHome”), a wholly owned subsidiary of LiquidValue Development Inc., entered into a Loan Agreement with Manufacturers and Traders Trust Company (the “Lender”).

Pursuant to the Loan Agreement, the Lender provided a non-revolving loan to Alset EHome in an aggregate amount of up to $2,990,000 (the “Loan”). The line of credit bears interest rate on LIBOR plus 375 basis points. Repayment of the Loan is secured by a Deed of Trust issued to the Lender on the property owned by certain subsidiaries of Alset EHome. The maturity date of this Loan is July 1, 2022. LiquidValue Development Inc. and one of its subsidiaries are guarantors of this Loan. The guarantors are required to maintain during the term of the loan a combined minimum net worth in an aggregate amount equal to not less than $20,000,000. The Company was in compliance with this covenant as of December 31, 2020 and March 31,2021.

During the year ended December 31, 2020 Alset EHome borrowed $664,810 from M&T Bank, incurring at the same time a loan origination fees of $61,679 which are to be amortized over the term of the loan. Alset EHome didn’t borrow any additional funds in three months ended on March 31, 2021. In the three months ended March 31, 2021 and 2020, Alset EHome expensed $6,627 and $0, respectively, in interest on this loan and recorded $8,045 and $0, respectively, of amortization expense. As of March 31, 2021 and December 31, 2020, the remaining unamortized debt discount was $34,862 and $42,906, respectively.

Paycheck Protection Program Loan

On February 11, 2021, the Company entered into a five year note with M&T Bank with a principal amount of $68,502 pursuant to the Paycheck Protection Program (“PPP Term Note”) under the Coronavirus Aid, Relief, and Economic Security Act (the “CARES Act”). The PPP Loan is evidenced by a promissory note. The PPP Term Note bears interest at a fixed annual rate of 1.00%, with the first sixteen months of principal and interest deferred or until we apply for the loan forgiveness. The PPP Term Note may be accelerated upon the occurrence of an event of default.

The PPP Term Note is unsecured and guaranteed by the United States Small Business Administration. The Company may apply to M&T Bank for forgiveness of the PPP Term Note, with the amount which may be forgiven equal to at least 60% of payroll costs and other eligible payments incurred by the Company, calculated in accordance with the terms of the CARES Act. At this time, we are not in a position to quantify the portion of the PPP Term Note that will be forgiven. As of March 31, 2021, we owned $68,502 to M&T Bank.

Australia Loan

On January 7, 2017, SeD Perth Pty Ltd (“SeD Perth”) entered into a loan agreement with National Australian Bank Limited (the “Australia Loan”) for the purpose of funding land development. The loan facility provides SeD Perth with access to funding of up to approximately $460,000 and matures on December 31, 2018. The Australia Loan is secured by both the land under development and a pledged deposit of $35,276. This loan is denominated in AUD. Personal guarantees amounting to approximately $500,000 have been provided by our CEO, Chan Heng Fai and by Rajen Manicka, the CEO of Holista CollTech and Co-founder of iGalen Inc. The interest rate on the Australia Loan is based on the weighted average interest rates applicable to each of the business markets facility components as defined within the loan agreement, ranging from 4.12% to 4.58% per annum for the three months ended March 31, 2021 and from 4.85% to 5.57% per annum for the three months ended March 31, 2020. On September 7, 2017 the Australia Loan was amended to reduce the maximum borrowing capacity to approximately $179,000. During 2020, the terms of the Australia Loan were amended to reflect an extended maturity date of April 30, 2022. This was accounted for as a debt modification. The Company did not pay fees to the National Australian Bank Limited for the modification of the loan agreement.

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Related Party Transactions

3 Months Ended

Mar. 31, 2021

Related Party Transactions [Abstract]

Related Party Transactions

9. RELATED PARTY TRANSACTIONS

Personal Guarantees by Directors

As of March 31, 2021 and December 31, 2020, a director of the Company had provided personal guarantees amounting to approximately $500,000, to secure external loans from financial institutions for AEI and the consolidated entities.

Sale of Investment in Vivacitas to DSS

On March 18, 2021, the Company sold equity investment in Vivacitas, a U.S.-based biopharmaceutical company, equaling to 2,480,000 shares of common stock and a stock option to purchase 250,000 shares of Vivacitas common stock at $1 per share at any time prior to the date of a public offering, to a subsidiary of DSS for $2,480,000. Chan Heng Fai, CEO and the founder of the Company, holds a director position on both Vivacitas and DSS. After this transaction, we do not own any investment in Vivacitas. Our original cost of common stock and stock option of Vivacitas was $200,128. We did not recognize gain or loss in this transaction. The difference of $2,279,872 between the selling price and our original investment cost was recorded as additional paid capital considering it was a related party transaction.

Notes Payable

Chan Heng Fai provided interest-free, due on demand advance to LiquidValue Development Pte. Ltd. and its subsidiary LiquidValue Development Limited of approximately $815,381 for the general operations. On March 31, 2021 and December 31, 2020, the outstanding balance was approximately $815,381 and $823,823, respectively.

Chan Heng Fai provided interest-free, due on demand advance to Alset EHome International for the general operations. On March 31, 2021 and December 31, 2020, the outstanding balance was $178,400.

Chan Heng Fai provided an interest-free, due on demand advance to SeD Perth Pty. Ltd. for its general operations. On March 31, 2021 and December 31, 2020, the outstanding balance was $14,190 and $14,379, respectively.

On August 20, 2020, the Company acquired 30,000,000 common shares from Chan Heng Fai in exchange for a two-year non-interest bearing note of $1,333,429. On March 31, 2021 and December 31, 2020 the amount outstanding was $ 133,429 and $1,333,429, respectively.

On March 12, 2021, the Company entered into a Securities Purchase Agreement (the “SPA”) with Chan Heng Fai, the founder, Chairman and Chief Executive Officer of the Company, for four proposed transactions, consisting of (i) purchase of certain warrants (the “Warrants”) to purchase 1,500,000,000 shares of Alset International Limited (“Alset International”), which was valued at $28,363,966; (ii) purchase of all of the issued and outstanding stock of LiquidValue Development Pte Ltd. (“LVD”), which was valued at $173,395; (iii) purchase of 62,122,908 ordinary shares in True Partners Capital Holding Limited (HKG: 8657) (“True Partners”), which was valued at $6,729,629; and (iv) purchase of 4,775,523 shares of the common stock of American Pacific Bancorp Inc. (“APB”), which was valued at $28,653,138. The total amount of above four transactions was $63,920,129, payable on the Closing Date by the Company, in the convertible promissory notes (“Alset CPNs”), which, subject to the terms and conditions of the Alset CPNs and the Company’s shareholder approval, shall be convertible into shares of the Company’s common stock (“AEI Common Stock”), at par value of $0.001 per share, at the conversion price of AEI’s Stock Market Price. AEI’s Stock Market Price shall be $5.59 per share, equivalent to the average of the five closing per share prices of AEI Common Stock preceding January 4, 2021 as quoted by Bloomberg L.P. AEI stock price was $10.03 on March 12, 2021, the commitment date. The Beneficial Conversion Feature (“BCF”) intrinsic value was $50,770,192 for the four convertible promissory notes and was recorded as debt discount of convertible notes after the transaction. As of March 31, 2021, the promissory notes net of debt discount were $13,695,852 and accrued interest was $41,239.

Management Fees

MacKenzie Equity Partners, owned by Charles MacKenzie, a Director of the Company’s subsidiary LiquidValue Development, has had a consulting agreement with the Company since 2015. Per the terms of the agreement, as amended on January 1, 2018, the Company has paid a monthly fee of $20,000 for these consulting services. The Company incurred expenses of $60,000 and $60,000 for the three months ended March 31, 2021 and 2020, respectively, which were capitalized as part of Real Estate on the Company’s Consolidated Balance Sheet as the services relate to property and project management. As of March 31, 2021, and December 31, 2020 the Company owed $0 to this entity.

Consulting Services

Chan Tung Moe was engaged as a consultant by the Company through Pop Motion Consulting Pte. Ltd. Chan Tung Moe is the son of Chan Heng Fai, the Chairman and CEO of our Company. In August of 2020, this consulting agreement was terminated, and Chan Tung Moe became an employee of Alset International as Chief Development Officer. Chan Tung Moe was appointed as Executive Director of Alset International Limited on December 11, 2020 and on March 1, 2021, he was appointed as Co-Chief Executive Officer of Alset International Limited.

The Company incurred expense of $0 and $57,931 for the three months ended March 31, 2021 and 2020, respectively. As of March 31, 2021 and December 31, 2020, the Company owed Pop Motion a consulting fee of $0.

Notes Receivable from Related Party Companies

On March 2, 2020 LiquidValue Asset Management Pte. Ltd. (“LiquidValue”) received a $200,000 Promissory Note from American Medical REIT Inc. (“AMRE”), a company which is 36.1% owned by LiquidValue. Chan Heng Fai and Chan Tung Moe from Alset International are directors of American Medical REIT Inc. The note carries interests of 8% and is payable in two years. LiquidValue also received warrants to purchase AMRE shares at the Exercise Price $5.00 per share. The amount of the warrants equals to the note principle divided by the Exercise Price. If AMRE goes to IPO in the future and IPO price is less than $10.00 per share, the Exercise price shall be adjusted downward to fifty percent (50%) of the IPO price. As of March 31, 2021 and December 31, 2020, the fair market value of the warrants was $0. The Company accrued $17,431 and $13,431 interest income as of March 31, 2021 and December 31, 2020, respectively.

On January 24, 2017, SeD Capital Pte Ltd, a 100% owned subsidiary of Alset International lent $350,000 to iGalen. The term of the loan was two years, with an interest rate of 3% per annum for the first of year and 5% per annum for the second year. The expiration term was renewed as due on demand after two years with 5% per annum interest rate. As of March 31, 2021 and December 31, 2020, the outstanding principle was $350,000 and accrued interest was $62,058 and $61,555, respectively.

As of March 31, 2021, the Company provided advances for operation of $10,104 to Hyten, a direct sales company in Thailand of which the Company holds approximately 19% ownership. The Company provided advances for operation of $29,968 to APW, a related party company of which the Company holds 8.7% ownership.

Loan to Employees

On November 24, 2020, American Pacific Bancorp. Inc. lent $560,000 to Chan Tung Moe, an officer of one of the subsidiaries of the Company and son of Chan Heng Fai, Chairman and Chief Executive Officer of the Company, bearing interest at 6%, with a maturity date of November 23, 2023. This loan is secured by an irrevocable letter of instruction on 80,000 shares of Alset EHome International. On November 24, 2020, American Pacific Bancorp. Inc. lent $280,000 to Lim Sheng Hon Danny, an employee of one of the subsidiaries of the Company, bearing interest at 6%, with a maturity date of November 23, 2023. This loan is secured by an irrevocable letter of instruction on 40,000 shares of Alset EHome International. As of December 31, 2020 and March 31, 2021, the accrued interest was $17,536 and $5,109, respectively. On March 12, 2021, the Company entered into a Securities Purchase Agreement pursuant to which the Company acquired 86.44% of the total issued and outstanding common stock of American Pacific Bancorp. Inc.

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Equity

3 Months Ended

Mar. 31, 2021

Equity [Abstract]

Equity

10. EQUITY

The Company is authorized to issue 20,000,000 common shares and 5,000,000 preferred shares, both at a par value $0.001 per share. As of December 31, 2020, there were 8,570,000 common shares issued and outstanding.

On January 19, 2021, the Company issued 10,000 shares of its common stock as compensation for public relations services at a fair value of $60,900.

On March 31, 2021, there were 8,580,000 common shares issued and outstanding.

On November 23, 2020, under the terms of the Underwriting Agreement, the Company issued to Aegis Capital Corp a warrant (the “Representative’s Warrant”) to purchase an aggregate of 108,000 shares of common stock. The Representative’s Warrant is exercisable at a per share price of $9.80 and is exercisable at any time and from time to time, in whole or in part, during the three-year period commencing from the date of issuance. Following table summarizes the warrant activity for the three months ended March 31, 2021.

	Warrant for				Remaining Contractual		Aggregate
	Common Shares		Exercise Price		Term (Years)		Intrinsic Value
Outstanding as of December 31, 2020		108,000	$	9.80		2.95	$	-
Vested and exercisable at December 31, 2020		108,000	$	9.80		2.95	$	-
Granted		-		-
Exercised		-		-
Forfeited, cancelled, expired		-		-
Outstanding as of March 31, 2021		108,000	$	9.80		2.70	$	191,160
Vested and exercisable at March 31, 2021		108,000	$	9.80		2.70	$	191,160

GigWorld Inc. Sale of Shares

From January to March, 2021, the Company sold 250,000 shares of GigWorld to international investors for the amount of $250,000, which was booked as addition paid-in capital. The Company held 505,551,376 shares of the total outstanding shares 506,898,576 before the sale. After the sale, the Company still owns approximately 99% of GigWorld’s total outstanding shares.

From January to March, 2020, the Company sold 10,000 shares of GigWorld to international investors for the amount of $5,000, which was booked as addition paid-in capital. The Company held 506,223,676 shares of the total outstanding shares 506,898,576 before the sale. After the sale, the Company still owns approximately 99% of GigWorld’s total outstanding shares.

During the three months ended March 31, 2021 and 2020, the sales of GigWorld’s shares were de minimis compared to its outstanding shares and did not change the minority interest.

Distribution to Minority Shareholder

During three months ended on March 31, 2021, SeD Maryland Development LLC Board approved the payment distribution plan to members and paid $82,250 in distribution to the minority shareholder. During three months ended on March 31, 2020, SeD Maryland Development LLC Board approved the payment distribution plan to members and paid $197,400 in distribution to the minority shareholder.

Changes of Ownership of Alset International

In the three months ended March 31, 2021, Alset International issued 250,000 common shares through warrants exercise with exercise price of approximately $0.03 per share and received $7,484 cash. During the three months ended March 31, 2021, the stock-based compensation expense of Alset International was $73,292 with the issuance of 1,500,000 shares to an officer. The Company’s ownership of Alset International changed from 57.1% as of December 31, 2020 to 57.1% as of March 31, 2021.

A subsidiary Issuing Stock

During March, 2020, a subsidiary of the Company started a private offer (the “Private Offer”) of its units. Each unit comprised of one share of its Class A Common Stock with par value of $0.01 per share and its one Series A 5% Cumulative Preferred Stock with a par value of $0.01 per share, at a subscription price of $6 per unit. The net proceeds from the private offer were $2,232,491 from investors as of March 31, 2020.

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Accumulated Other Comprehensive Income

3 Months Ended

Mar. 31, 2021

Accumulated Other Comprehensive Income Abstract

Accumulated Other Comprehensive Income

11. ACCUMULATED OTHER COMPREHENSIVE INCOME

Following is a summary of the changes in the balances of accumulated other comprehensive income, net of tax:

	Unrealized Gains and Losses on Security Investment			Foreign Currency Translations			Change in Minority Interest			Total
Balance at January 1, 2021	$	(48,758	)	$	2,258,017		$	(65,921	)	$	2,143,338
Other Comprehensive Income		(1,135	)		(1,010,527	)		(39,067	)		(1,050,729	)
Balance at March 31, 2021	$	(49,893	)	$	1,247,490		$	(104,988	)	$	1,092,609

	Unrealized Gains and Losses on Security Investment			Foreign Currency Translations			Change in Minority Interest			Total
Balance at January 1, 2020	$	(59,888	)	$	1,603,145		$	(84,968	)	$	1,458,289
Other Comprehensive Income		(8,240	)		(1,094,810	)		-			(1,103,050	)
Balance at March 31, 2020	$	(68,128	)	$	508,335		$	(84,968	)	$	355,239

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Investments Measured At Fair Value

3 Months Ended

Mar. 31, 2021

Investments, All Other Investments [Abstract]

Investments Measured At Fair Value

12. INVESTMENTS MEASURED AT FAIR VALUE

Financial assets measured at fair value on a recurring basis are summarized below and disclosed on the consolidated balance sheet as of March 31, 2021 and December 31, 2020:

	Amount at		Fair Value Measurement Using						Amount at
	Cost		Level 1		Level 2		Level 3		Fair Value
March 31, 2021
Assets
Investment Securities- Fair Value	$	14,134,540	$	17,923,989	$	-	$	-	$	17,923,989
Investment Securities- Trading		2,457,162		2,468,809		-		-		2,468,809
Convertible Preferred Stock		42,889,000		-		-		29,430,000		29,430,000
Convertible Note Receivable		138,599		-		-		153,590		153,590
Warrants - American Premium Water		860,342		-		-		2,188,264		2,188,264
Warrants - AMRE		-		-		-		-		-
Total Investment in securities at Fair Value	$	60,479,643	$	20,392,798	$	-	$	31,771,854	$	52,164,652

	Amount at		Fair Value Measurement Using						Amount at
	Cost		Level 1		Level 2		Level 3		Fair Value
December 31, 2020
Assets
Investment securities- Fair Value Option	$	7,404,911	$	10,549,102	$	-	$	-	$	10,549,102
Investment securities- Trading		17,650		18,654		-		-		18,654
Convertible preferred stock		42,889,000		-		-		37,675,000		37,675,000
Convertible note receivable		50,000		-		-		66,978		66,978
Warrants - American Premium Water		860,342		-		-		862,723		862,723
Warrants - AMRE		-		-		-		-		-
Stock Options - Vivacitas		-		-		-		-		-
Total Investment in securities at Fair Value	$	51,221,903	$	10,567,756	$	-	$	38,604,701	$	49,172,457

Unrealized loss on investment securities for the three months ended March 31, 2021 and 2020 was $1,987 and $12,599, respectively. These losses were recorded directly to net income (loss).

For U.S. trading stocks, we use Bloomberg Market stock prices as the share prices to calculate fair value. For overseas stock, we use the stock price from local stock exchange to calculate fair value. The following chart shows details of the fair value of equity security investment at March 31, 2021 and December 31, 2020, respectively.

	Share price					Market Value
	3/31/2021		Shares			3/31/2021		Valuation
DSS (Related Party)	$	3.610		1162501	*	$	4,196,629	Investment in Securities at Fair Value
AMBS (Related Party)	$	0.011		20,000,000		$	228,000	Investment in Securities at Fair Value
Holista (Related Party)	$	0.049		46,226,673		$	2,285,838	Investment in Securities at Fair Value
American Premium Water (Related Party)	$	0.008		122,039,000		$	1,025,128	Investment in Securities at Fair Value
OptimumBank (Related Party)	$	3.870		92,980		$	359,833	Investment in Securities at Fair Value
True Partners	$	0.158		62,122,908		$	9,828,563	Investment in Securities at Fair Value
Trading Stocks						$	2,468,809	Investment in Securities at Fair Value
		Total Level 1 Equity Securities				$	20,392,798

Nervotech	N/A	1,666	$	37,826	Investment in Securities at Cost
Hyten Global	N/A	20,000	$	42,562	Investment in Securities at Cost
K Beauty	N/A	3,600	$	19,609	Investment in Securities at Cost
	Total Equity Securities		$	20,492,795

	Share price					Market Value
	12/31/2020		Shares			12/31/2020		Valuation
DSS (Related Party)	$	6.240		1,162,501	*	$	7,254,006	Investment in Securities at Fair Value
AMBS (Related Party)	$	0.008		20,000,000		$	160,000	Investment in Securities at Fair Value
Holista (Related Party)	$	0.055		46,226,673		$	2,565,469	Investment in Securities at Fair Value
American Premium Water (Related Party)	$	0.002		122,039,000		$	256,284	Investment in Securities at Fair Value
OptimumBank (Related Party)	$	3.370		92,980		$	313,343	Investment in Securities at Fair Value
Trading Stocks						$	18,654	Investment in Securities at Fair Value
		Total Level 1 Equity Securities				$	10,567,756

Vivacitas (Related Party)	N/A	2,480,000	$	200,128	Investment in Securities at Cost
Nervotech	N/A	1,666	$	37,826	Investment in Securities at Cost
Hyten Global	N/A	20,000	$	42,562	Investment in Securities at Cost
	Total Equity Securities		$	10,848,272

* Ratio of 1-for-30 (the “Reverse Split”) was effective at 5:01 p.m. Eastern Time on May 7, 2020 (the “Effective Time”)

DSS convertible preferred stock

The DSS convertible preferred stock under level 3 category was valued on Option Pricing Method (OPM) in determining the fair value. As of March 31, 2021, the Company held 42,575 shares of DSS convertible preferred stock, which could convert to 6,570,216 common shares, with fair market value of $29,430,000. As of December 31, 2020, the Company held 42,575 shares of DSS convertible preferred stock, which could convert to 6,570,216 common shares, with fair market value $37,675,000. The following table shows the parameters adopted in the valuation at the valuation dates.

	As of March 31,			As of December 31,
	2021			2020
Stock price	$	4.22		$	6.24
Risk-free rate		1.64	%		0.93	%
Volatility		109.67	%		113.69	%
Expected Exit Date		March 24, 2023			December 31, 2023
Dividend Yield		0.00			0.00

The selected stock prices represent the close market bid price of DSS on the valuation date. Risk-free interest rates were obtained from Bloomberg. The volatility is based on the historical volatility of the DSS common stock. We assumed a three-year life for the preferred stock and assumed that after three-years the Company would desire to begin receiving a return on this investment – either through a conversion or liquidation. Given the Beneficial Ownership limited on the exercise of the Series A Preferred Shares, we have assumed that Alset International will sell their common stocks in the Target Company such that their shareholding does not exceed 19.99% prior to conversion. We have assessed the Discount for Lack of Marketability (DLOM) of this interest using a put option method and adopted Black-Scholes Option Pricing Model to estimate the DLOM.

Sharing Services Convertible Note

The fair value of the Sharing Services Convertible Note under level 3 category as of March 31, 2021 and December 31, 2020 was calculated using a Black-Scholes valuation model valued with the following weighted average assumptions:

	March 31, 2021			December 31, 2020
Dividend yield		0.00	%		0.00	%
Expected volatility		210.07	%		210.07	%
Risk free interest rate		3.25	%		0.13	%
Contractual term (in years)		1.51			1.76
Exercise price	$	0.15		$	0.15

We assumed dividend yield rate is 0.00% in Sharing Services. The volatility is based on the historical volatility of the Sharing Services’ common stock. Risk-free interest rates were obtained from U.S. Treasury rates for the applicable periods.

Changes in the observable input values would likely cause material changes in the fair value of the Company’s Level 3 financial instruments. A significant increase (decrease) in this likelihood would result in a higher (lower) fair value measurement.

The table below provides a summary of the changes in fair value, including net transfers in and/or out of all financial assets measured at fair value on a recurring basis using significant unobservable inputs (Level 3) during the three months ended March 31, 2021 and 2020:

	Total
Balance at January 1, 2021	$	66,978
Total losses		(1,987	)
Balance at March 31, 2021	$	64,991

	Total
Balance at January 1, 2020	$	26,209
Total losses		(12,599	)
Balance at March 31, 2020	$	13,610

Vector Com Convertible Bond

On February 26, 2021, the Company invested approximately $88,599 in the convertible bond of Vector Com Co., Ltd (“Vector Com”), a private company in South Korea. The interest rate is 2% per annum and maturity is two years. The conversion price is approximately $21.26, per common share of Vector Com. As of March 31, 2021, the Management estimated that the fair value of the note to be $88,599, the initial transaction price.

Warrants

On March 2, 2020, the Company received warrants to purchase shares of AMRE, a related party private startup company, in conjunction with the Company lending a $200,000 promissory note. For further details on this transaction, refer to Note 9 Related Party Transactions, Note Receivable from a Related Party Company. As of March 31, 2021 and December 31, 2020, AMRE was a private company. Based the management’s analysis, the fair value of the warrants was $0 as of March 31, 2021 and December 31, 2020.

On July 17, 2020, the Company purchased 122,039,000 shares, approximately 9.99% ownership, and 122,039,000 warrants with an exercise price of $0.0001 per share, from APW, for an aggregated purchase price of $122,039. We value APW warrants under level 3 category through a Black-Scholes option pricing model and the fair value of the warrants from APW were $862,723 as of December 31, 2020 and $2,188,264 as of March 31, 2021.

The fair value of the APW warrants under level 3 category as of March 31, 2021 and July 17, 2020 was calculated using a Black-Scholes valuation model valued with the following weighted average assumptions:

	March 31, 2021			December 31, 2020
Stock Price	$	0.0084		$	0.0021
Exercise price		0.001			0.001
Risk free interest rate		1.74	%		0.88	%
Annualized volatility		232.10	%		178.86	%
Year to maturity		9.32			9.58

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Commitments and Contingencies

3 Months Ended

Mar. 31, 2021

Commitments and Contingencies Disclosure [Abstract]

Commitments and Contingencies

13. COMMITMENTS AND CONTINGENCIES

Lots Sales Agreement

On November 23, 2015, SeD Maryland Development LLC completed the $15,700,000 acquisition of Ballenger Run, a 197-acre land sub-division development located in Frederick County, Maryland. Previously, on May 28, 2014, the RBG Family, LLC entered into a $15,000,000 assignable real estate sales contract with NVR, by which RBG Family, LLC would facilitate the sale of the 197 acres of Ballenger Run to NVR. On December 10, 2014, NVR assigned this contract to SeD Maryland Development, LLC through execution of an assignment and assumption agreement and entered into a series of lot purchase agreements by which NVR would purchase 443 subdivided residential lots from SeD Maryland Development, LLC. On December 31, 2018, SeD Maryland entered into the Third Amendment to the Lot Purchase Agreement for Ballenger Run with NVR. Pursuant to the Third Amendment, SeD Maryland will convert the 5.9 acre CCRC parcel to 36 lots (the 28 feet wide villa lot) and sell to NVR.

Through the three months ended on March 31, 2021 and 2020, NVR purchased 27 lots and 27 lots, respectively. Through March 31, 2021 and December 31, 2020, NVR had purchased a total of 415 and 388 lots, respectively.

Leases

The Company leases offices in Maryland, Singapore, Magnolia, Texas, Hong Kong and South Korea through leased spaces aggregating approximately 15,811 square feet, under leases expiring on various dates from December 2020 to March 2024. The leases have rental rates ranging from $2,265 to $23,297 per month. Our total rent expense under these office leases was $140,271 and $85,558 in the three months ended March 31, 2021 and 2020, respectively. The following table outlines the details of lease terms:

Office Location	Lease Term as of December 31, 2020	Renewed Lease term in 2021
Singapore	June 2020 to June 2021
Hong Kong	October 2020 to October 2022
South Korea	August 2020 to August 2022
Magnolia, Texas, USA	November 2019 to April 2021	May 2021 to October 2021
Bethesda, Maryland, USA	August 2015 to December 2020	January 2021 to March 2024

The Company adopted ASU No. 2016-02, Leases (Topic 842) (“ASU 2016-02”) to recognize a right-of-use asset and a lease liability for all the leases with terms greater than twelve months. We elected the practical expedient to not recognize operating lease right-of-use assets and operating lease liabilities for lease agreements with terms less than 12 months. Operating lease right-of-use assets and operating lease liabilities are recognized based on the present value of the future minimum lease payments over the lease term at commencement date. As our leases do not provide a readily determinable implicit rates, we estimate our incremental borrowing rates to discount the lease payments based on information available at lease commencement. Our incremental borrowings rates are 3.9% in 2021 and at a range from 0.5% to 4.5% per annum in 2020, which were used as the discount rates. The balances of operating lease right-of-use assets and operating lease liabilities as of March 31, 2021 were $722,507 and $736,561, respectively. The balances of operating lease right-of-use assets and operating lease liabilities as of December 31, 2020 were $574,754 and $574,754, respectively.

The table below summarizes future payments due under these leases as of March 31, 2021.

For the Years Ended December 31:

2021	$	341,827
2022		292,830
2023		95,104
2024		24,430
Total Minimum Lease Payments		754,191
Less: Effect of Discounting		(17,630	)
Present Value of Future Minimum Lease Payments		736,561
Less: Current Obligations under Leases		(51,686	)
Long-term Lease Obligations		684,875

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Directors and Employees' Benefits

3 Months Ended

Mar. 31, 2021

Share-based Payment Arrangement [Abstract]

Directors and Employees' Benefits

14. DIRECTORS AND EMPLOYEES’ BENEFITS

Stock Option plans AEI

The Company reserves 500,000 shares of common stock under the Incentive Compensation Plan for high-quality executives and other employees, officers, directors, consultants and other persons who provide services to the Company or its related entities. This plan is meant to enable such persons to acquire or increase a proprietary interest in the Company in order to strengthen the mutuality of interests between such persons and the Company’s shareholders, and providing such persons with performance incentives to expand their maximum efforts in the creation of shareholder value. As of March 31, 2021 and December 31, 2020, there have been no options granted.

Alset International Stock Option plans

On November 20, 2013, Alset International approved a Stock Option Plan (the “2013 Plan”). Employees, executive directors, and non-executive directors (including the independent directors) are eligible to participate in the 2013 Plan.

The following tables summarize stock option activity under the 2013 Plan for the three months ended March 31, 2021:

	Options for				Remaining Contractual		Aggregate
	Common Shares		Exercise Price		Term (Years)		Intrinsic Value
Outstanding as of January 1, 2020		1,061,333	$	0.09		4.00	$	-
Vested and exercisable at January 1, 2020		1,061,333	$	0.09		4.00	$	-
Granted		-		-
Exercised		-		-
Forfeited, cancelled, expired		-		-
Outstanding as of December 31, 2020		1,061,333	$	0.09		3.00	$	-
Vested and exercisable at December 31, 2020		1,061,333	$	0.09		3.00	$	-
Granted		-		-
Exercised		-		-
Forfeited, cancelled, expired		-		-
Outstanding as of March 31, 2021		1,061,333	$	0.09		2.75	$	-
Vested and exercisable at March 31, 2021		1,061,333	$	0.09		2.75	$	-

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Subsequent Events

3 Months Ended

Mar. 31, 2021

Subsequent Events [Abstract]

Subsequent Events

15. SUBSEQUENT EVENTS

Purchase of Shares of Value Exchange International, Inc.

The Company has entered into a securities purchase agreement dated April 5, 2021 with Value Exchange International, Inc. (“Value Exchange International”) in connection with the purchase of 6,500,000 shares of Value Exchange International’s common stock for an aggregate subscription price of $650,000. The acquisition of 6,500,000 shares of Value Exchange International’s common stock was completed on April 12, 2021.

Ownership of Alset International

On April 8, 2021, the Company exercised its warrants to purchase 139,834,471 shares of Alset International at an exercise price of Singapore $0.04. On May 12, 2021, Chan Heng Fai exercised warrants to purchase 76,925,000 shares of Alset International at an exercise price of Singapore $0.048. On May 14 and 17, 2021, the Company exercised its warrants to purchase 943,531,983 shares of Alset International at an exercise price of Singapore $0.048. Total outstanding shares of Alset International were 2,931,951,400 after these issuances. The Company holds 2,094,516,748 shares of Alset International, approximately 71.4% ownership.

Acquisition of HengFeng Finance Limited

On October 15, 2020, the Company’s subsidiary, American Pacific Bancorp (“APB”), entered into an acquisition agreement to acquire 3,500,001 common shares of Hengfeng Finance Limited (“HFL”), representing 100% of the common shares of HFL, in consideration for 250,000 shares of APB’s Class A Common Stock. HFL is incorporated in Hong Kong with limited liability. This transaction closed on April 21, 2021.

Joint Venture with Novum

On April 20, 2021 on of Company’s indirect subsidiaries, SeD Capital Pte. Ltd. (“SeD Capital”), entered into joint venture agreement with digital asset management firm Novum Alpha Pte Ltd (“Novum”). Pursuant to this agreement, SeD Capital will own 50% of the issued and paid-up capital in the joint venture company, Credas Capital Pte Ltd (“Credas”) with the remaining 50% shareholding stake held by Novum. Credas intends to develop and launch its maiden digital assets-based Exchange-Traded Product in the fourth quarter of 2021 on the SIX Swiss Exchange, Switzerland’s principal stock exchange and one of Europe’s largest stock exchanges.

Distribution to Minority Shareholders

On April 30, 2021, the Board of Managers of SeD Maryland Development LLC (the 83.55% owned subsidiary of the Company which owns the Company’s Ballenger Project) authorized the payment of distributions to its members in the amount of $3,000,000. Accordingly, the minority member of SeD Maryland Development LLC received a distribution in the amount of $493,500, with the remainder being distributed to a subsidiary of the Company, which is eliminated upon consolidation.

Amendment to Authorized Shares and Designation of Preferred Shares

On May 3, 2021, the holder of a majority of the issued and outstanding shares of common stock of the Company, by written consent, approved and adopted an amendment to our Third Amended and Restated Certificate of Incorporation (the “Amendment”) to increase the number of authorized shares of the Company’s common stock from Twenty Million (20,000,000) common shares to Two Hundred and Fifty Million (250,000,000) common shares and its preferred shares from Five Million (5,000,000) to Twenty Five Million (25,000,000). As of filing date, the amendment is still pending approval from State of Delaware.

On May 3, 2021, the Company filed an amendment to its Articles of Incorporation which sets forth the rights and preferences of the Series A Convertible Preferred Stock. Pursuant to the Series A Designation, 6,380 shares of the Company’s preferred stock was designated Series A Preferred Stock. Holders of the Series A Preferred Stock shall be entitled to receive dividends equal, on an as-if-converted basis, to and in the same form as dividends actually paid on shares of the Company’s common stock par value $0.001 per share (“Common Stock”) when, as and if paid on shares of Common Stock. Each holder of outstanding Series A Preferred Stock is entitled to vote equal to the number of whole shares of Common Stock into which each share of the Series A Preferred Stock is convertible. Holders of Series A Preferred Stock are entitled, upon liquidation of the Company, to receive the same amount that a holder of Series A Preferred Stock would receive if the Series A Preferred Stock were fully converted into Common Stock.

On May 12, 2021 the Company filed a Certificate of Designation which sets forth the rights and preferences of the Series B Preferred Stock. Pursuant to the Series B Designation, 2,132 shares of the Company’s preferred stock was designated Series B Preferred Stock. Holders of the Series B Preferred Stock shall be entitled to receive dividends equal, on an as-if-converted basis, to and in the same form as dividends actually paid on shares of the Company’s common stock par value $0.001 per share (“Common Stock”) when, as and if paid on shares of Common Stock. Each holder of outstanding Series B Preferred Stock is entitled to vote equal to the number of whole shares of Common Stock into which each share of the Series B Preferred Stock is convertible. Holders of Series B Preferred Stock are entitled, upon liquidation of the Company, to receive the same amount that a holder of Series B Preferred Stock would receive if the Series B Preferred Stock were fully converted into Common Stock.

Loan and Exchange Agreement with the CEO, Chan Heng Fai

On May 3, 2021, the Company entered into a Loan and Exchange Agreement with its Chief Executive Officer, Chan Heng Fai pursuant to which Chan Heng Fai loaned the Company his shares of Common Stock of the Company by exchanging 6,380,000 shares of common stock which he owned for an aggregate of 6,380 shares of the Company’s newly designated Series A Convertible Preferred Stock.

On May 12, 2021, Company entered into an Exchange Agreement with Chan Heng Fai, effective May 13, 2021, pursuant to which he exchanged $13,000,000 in principal amount under a $28,363,966 convertible promissory note (the “Note”) in exchange for 2,132 shares of the Company’s newly designated Series B Preferred Stock.

Public Offering

On May 10, 2021, the Company entered into an underwriting agreement (the “Underwriting Agreement”) with Aegis Capital Corp., as the sole book-running manager and representative of the underwriters named therein (the “Underwriters”), relating to an underwritten public offering (the “Offering”) of (i) 4,700,637 common units (the “Common Units”), at a price to the public of $5.07 per Common Unit, with each Common Unit consisting of (a) one share of common stock, par value $0.001 per share (the “Common Stock”), (b) one Series A warrant (the “Series A Warrant” and collectively, the “Series A Warrants”) to purchase one share of Common Stock with an initial exercise price of $5.07 per whole share, exercisable until the fifth anniversary of the issuance date, and (c) one Series B warrant (the “Series B Warrant” and collectively, the “Series B Warrants” and together with the Series A Warrants, the “Warrants”) to purchase one-half share of Common Stock with an initial exercise price of $6.59 per whole share, exercisable until the fifth anniversary of the issuance date and (ii) 1,611,000 pre-funded units (the “Pre-funded Units”), at a price to the public of $5.06 per Pre-funded Unit, with each Pre-funded Unit consisting of (a) one pre-funded warrant (the “Pre-funded Warrant” and collectively, the “Pre-funded Warrants”) to purchase one share of Common Stock, (b) one Series A Warrant and (c) one Series B Warrant. The shares of Common Stock, the Pre-funded Warrants, and the Warrants were offered together, but the securities contained in the Common Units and the Pre-funded Units were issued separately.

The Company also granted the Underwriters a 45-day over-allotment option to purchase up to 808,363 additional shares of Common Stock and/or up to 808,363 additional Series A Warrants to purchase 808,363 shares of Common Stock, and/or up to 808,363 additional Series B warrants to purchase 404,181 shares of Common Stock. The Offering, including the partial exercise of the Underwriters’ over-allotment option to purchase 808,363 Series A Warrants and 808,363 Series B Warrants, closed on May 13, 2021.

The Company paid the Underwriters an underwriting discount equal to 6.5% of the gross proceeds of the Offering and a non-accountable expense fee equal to 1.25% of the gross proceeds of the Offering. The Company also reimbursed the Underwriters for certain of their expenses, including “roadshow”, diligence, and reasonable legal fees and disbursements, in an amount of $150,000 in the aggregate. The Company has also agreed that it will not issue or announce the issuance or proposed issuance of any Common Stock or Common Stock equivalents for a period of 120 days following the closing date, other than certain exempt issuances.

The net proceeds to the Company from the Offering were approximately $29.2 million, excluding the proceeds, if any, from the exercise of the Warrants and the Pre-funded Warrants sold in the Offering, and after deducting underwriting discounts and commissions and the payment of other estimated offering expenses associated with the Offering that are payable by the Company.

Note Payable Related Party

On May 14, 2021, Alset EHome International Inc., a Delaware corporation (the “Company”), borrowed S$7,395,472 Singapore Dollars (equal to approximately $5,557,371 U.S. Dollars) from the Company’s Chairman, Chief Executive Officer and major stockholder, Chan Heng Fai. The unpaid principal amount of the Loan shall be due and payable on May 14, 2022 and the Loan shall have no interest.

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Summary of Significant Accounting Policies (Policies)

3 Months Ended

Mar. 31, 2021

Accounting Policies [Abstract]

Basis of Presentation and Principles of Consolidation

Basis of Presentation and Principles of Consolidation

The Company’s consolidated financial statements have been prepared in accordance with accounting principles generally accepted in the United States of America (“U.S. GAAP”) and following the requirements of the Securities and Exchange Commission (“SEC”) for interim reporting. These interim financial statements have been prepared on the same basis as the Company’s annual financial statements and, in the opinion of management, reflect all adjustments, consisting only of normal recurring adjustments, which are necessary for a fair statement of the Company’s financial information. These interim results are not necessarily indicative of the results to be expected for the year ending December 31, 2021 or any other interim periods or for any other future years. These unaudited consolidated financial statements should be read in conjunction with the Company’s audited consolidated financial statements and the notes thereto included in the Company’s Form 10-K for the year ended December 31, 2020 filed on April 14, 2021.

The consolidated financial statements include all accounts of the Company and its majority owned and controlled subsidiaries. The Company consolidates entities in which it owns more than 50% of the voting common stock and controls operations. All intercompany transactions and balances among consolidated subsidiaries have been eliminated.

The Company’s consolidated financial statements include the financial position, results of operations and cash flows of the following entities as of March 31, 2021 and December 31, 2020, as follows:

		Attributable interest as of,
Name of subsidiary consolidated under AEI	State or other jurisdiction of incorporation or organization	March 31, 2021			December 31, 2020
			%			%
Hengfai International Pte. Ltd	Singapore		100			100
Hengfai Business Development Pte. Ltd	Singapore		100			100
Heng Fai Enterprises Pte. Ltd.	Singapore		-			100
Global eHealth Limited	Hong Kong		100			100
Alset International Inc. (f.k.a. Singapore eDevelopment Limited)	Singapore		57.1			57.1
Singapore Construction & Development Pte. Ltd.	Singapore		57.1			57.1
Art eStudio Pte. Ltd.	Singapore		29.1	*		29.1	*
Singapore Construction Pte. Ltd.	Singapore		57.1			57.1
Global BioMedical Pte. Ltd.	Singapore		57.1			57.1
Alset Innovation Pte. Ltd. (f.k.a. SeD Investment Pte. Ltd.)	Singapore		57.1			57.1
Health Wealth Happiness Pte. Ltd.	Singapore		57.1			57.1
SeD Capital Pte. Ltd.	Singapore		57.1			57.1
LiquidValue Asset Management Pte. Ltd. (f.k.a. HengFai Asset Management Pte. Ltd.)	Singapore		64.8			46.9	*
SeD Home Limited	Hong Kong		57.1			57.1
SeD Management Pte. Ltd. (f.k.a. SeD Reits Management Pte. Ltd.)	Singapore		57.1			57.1
Global TechFund of Fund Pte. Ltd.	Singapore		57.1			57.1
Singapore eChainLogistic Pte. Ltd.	Singapore		57.1			57.1
BMI Capital Partners International Limited.	Hong Kong		57.1			57.1
SeD Perth Pty. Ltd.	Australia		57.1			57.1
SeD Intelligent Home Inc. (f.k.a SeD Home International, Inc.)	United States of America		57.1			57.1

LiquidValue Development Inc. (f.k.a. SeD Intelligent Home Inc.)	United States of America	57.1		57.1
Alset EHome Inc. (f.k.a. Alset iHome Inc., SeD Home & REITs Inc. and SeD Home, Inc.)	United States of America	57.1		57.1
SeD USA, LLC	United States of America	57.1		57.1
150 Black Oak GP, Inc.	United States of America	57.1		57.1
SeD Development USA Inc.	United States of America	57.1		57.1
150 CCM Black Oak, Ltd.	United States of America	57.1		57.1
SeD Texas Home, LLC	United States of America	57.1		57.1
SeD Ballenger, LLC	United States of America	57.1		57.1
SeD Maryland Development, LLC	United States of America	47.7	*	47.8	*
SeD Development Management, LLC	United States of America	48.5	*	48.6	*
SeD Builder, LLC	United States of America	57.1		57.1
GigWorld Inc. (f.k.a. HotApp Blockchain Inc.)	United States of America	56.9		57.0
HotApp BlockChain Pte. Ltd. (f.k.a. HotApps International Pte. Ltd.)	Singapore	56.9		57.0
HotApp International Limited	Hong Kong	56.9		57.0
HWH International, Inc.	United States of America	57.1		57.1
Health Wealth & Happiness Inc.	United States of America	57.1		57.1
HWH Multi-Strategy Investment, Inc.	United States of America	57.1		57.1
SeDHome Rental Inc	United States of America	57.1		57.1
SeD REIT Inc.	United States of America	57.1		57.1
Gig Stablecoin Inc. (f.k.a. Crypto Exchange Inc.)	United States of America	56.9		57.0
HWH World Inc.	United States of America	56.9		57.0
HWH World Pte. Ltd.	Singapore	56.9		57.0
UBeauty Limited	Hong Kong	57.1		57.1
WeBeauty Korea Inc	Korea	57.1		57.1
HWH World Limited	Hong Kong	57.1		57.1
HWH World Inc.	Korea	57.1		57.1
Alset BioHealth Pte. Ltd.	Singapore	57.1		57.1
Alset Energy Pte. Ltd.	Singapore	57.1		57.1
Alset Payment Inc.	United States of America	57.1		57.1
Alset World Pte. Ltd.	Singapore	57.1		57.1
BioHealth Water Inc.	United States of America	57.1		57.1
Impact BioHealth Pte. Ltd.	Singapore	57.1		57.1
American Home REIT Inc.	United States of America	64.8		46.9	*
Alset Solar Inc.	United States of America	45.7	*	45.7	*
HWH KOR Inc.	United States of America	57.1		57.1
Open House Inc.	United States of America	57.1		57.1
Open Rental Inc.	United States of America	57.1		57.1
Hapi Cafe Inc. (Nevada)	United States of America	57.1		57.1
Global Solar REIT Inc.	United States of America	57.1		57.1
OpenBiz Inc.	United States of America	57.1		57.1
Hapi Cafe Inc. (Texas)	United States of America	100		100
HWH (S) Pte. Ltd.	Singapore	57.1		-
American Pacific Bancorp Inc.	United States of America	86.44		-
Hengfeng Finance Limited	Hong Kong	86.44		-
Decentralize Finance Inc.	United States of America	86.44		-
True Partner International Limited	Hong Kong	100		-
LiquidValue Development Pte. Ltd.	Singapore	100		-
LiquidValue Development Limited.	Hong Kong	100		-

*Although the Company indirectly holds percentage of shares of these entities less than 50%, the subsidiaries of the Company directly hold more than 50% of shares of these entities, and therefore, they are still consolidated into the Company.

Use of Estimates

Use of Estimates

The preparation of financial statements in conformity with U.S. GAAP requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities and disclosure of contingent assets and liabilities at the dates of the financial statements and the reported amounts of revenues and expenses during the reporting periods. Significant estimates made by management include, but are not limited to, allowance for doubtful accounts, valuation of real estate assets, allocation of development costs and capitalized interest to sold lots, fair value of the investments, the valuation allowance of deferred taxes, and contingencies. Actual results could differ from those estimates.

In our property development business, land acquisition costs are allocated to each lot based on the area method, the size of the lot compared to the total size of all lots in the project. Development costs and capitalized interest are allocated to lots sold based on the total expected development and interest costs of the completed project and allocating a percentage of those costs based on the selling price of the sold lot compared to the expected sales values of all lots in the project.

If allocation of development costs and capitalized interest based on the projection and relative expected sales value is impracticable, those costs could also be allocated based on area method, the size of the lot compared to the total size of all lots in the project.

Transactions Between Entities Under Common Control

Transactions between Entities under Common Control

On March 12, 2021, the Company entered into a Securities Purchase Agreement (the “SPA”) with Chan Heng Fai, the founder, Chairman and Chief Executive Officer of the Company, for four proposed transactions, consisting of (i) purchase of certain warrants (the “Warrants”) to purchase 1,500,000,000 shares of Alset International Limited (“Alset International”), which was valued at $28,363,966; (ii) purchase of all of the issued and outstanding stock of LiquidValue Development Pte Ltd. (“LVD”), which was valued at $173,395; (iii) purchase of 62,122,908 ordinary shares in True Partner Capital Holding Limited (HKG: 8657) (“True Partner”), which was valued at $6,729,629; and (iv) purchase of 4,775,523 shares of the common stock of American Pacific Bancorp Inc. (“APB”), which was valued at $28,653,138. The total amount of above four transactions was $63,920,129, payable on the Closing Date by the Company, in the convertible promissory notes (“Alset CPNs”), which, subject to the terms and conditions of the Alset CPNs and the Company’s shareholder approval, shall be convertible into shares of the Company’s common stock (“AEI Common Stock”), par value $0.001 per share, at the conversion price of AEI’s Stock Market Price. AEI’s Stock Market Price shall be $5.59 per share, equivalent to the average of the five closing per share prices of AEI’s Common Stock preceding January 4, 2021 as quoted by Bloomberg L.P. The above four acquisitions from Chan Heng Fai are transactions between entities under common control.

The common control transactions resulted in the following basis of accounting for the financial reporting periods:

● The acquisitions of the Warrants and True Partner stock were accounted for prospectively as of March 12, 2021 and they did not represent a change in reporting entity.

● The acquisitions of LVD and APB were under common control and is consolidated in accordance with ASC 850-50. The consolidated financial statements were retrospectively adjusted for the acquisition of LVD and APB, and the operating results of LVD and APB as of January 1, 2020 for comparative purposes.

AEI stock price was $10.03 on March 12, 2021, the commitment date. The Beneficial Conversion Feature (“BCF”) intrinsic value was $50,770,192 for the four convertible promissory notes and was recorded as debt discount of convertible notes after these transactions. The debt discount attributable to the BCF is amortized over period from issuance to the date that the debt becomes convertible using the effective interest method. If the debt is converted, the discounted is amortized to finance cost in full immediately. As of March 31, 2021, the promissory notes net of debt discount were $13,695,853 and accrued interest was $41,239. During the three months ended on March 31, 2021, the amortized debt discount recorded as finance cost was $545,916.

Cash and Cash Equivalents

Cash and Cash Equivalents

The Company considers all highly liquid investments with a maturity of three months or less at the date of acquisition to be cash equivalents. Cash and cash equivalents include cash on hand and at the bank and short-term deposits with financial institutions that are readily convertible to a known amount of cash and are subject to an insignificant risk of changes in values. There were no cash equivalents as of March 31, 2021 and December 31, 2020.

Restricted Cash

Restricted Cash

As a condition to the loan agreement with the Manufacturers and Traders Trust Company (“M&T Bank”), the Company is required to maintain a minimum of $2,600,000 in an interest-bearing account maintained by the lender as additional security for the loans. The fund is required to remain as collateral for the loan until the loan is paid off in full and the loan agreement is terminated. The Company also has an escrow account with M&T Bank to deposit a portion of cash proceeds from lot sales. The fund in the escrow account is specifically used for the payment of the loan from M&T Bank. The fund is required to remain in the escrow account for the loan payment until the loan agreement terminates. As of March 31, 2021 and December 31, 2020, the total balance of these two accounts was $8,099,097 and $5,729,067, respectively.

As a condition to the loan agreement with National Australian Bank Limited in conjunction with the Perth project, an Australian real estate development project, the Company is required to maintain Australian Dollar 50,000, in a non-interest-bearing account. As of March 31, 2021 and December 31, 2020, the account balance was $38,043 and $38,550, respectively. These funds will remain as collateral for the loans until paid in full.

The Company puts money into brokerage accounts specifically for equity investment. As of March 31, 2021 and December 31, 2020, the cash balance in these brokerage accounts was $499,251 and $1,001,916, respectively.

Account Receivables and Allowance for Doubtful Accounts

Account Receivables and Allowance for Doubtful Accounts

Account receivables is stated at amounts due from buyers, contractors, and all third parties, net of an allowance for doubtful accounts. As of March 31, 2021 and December 31, 2020, the balance of account receivables was $1,062,278 and $1,366,194, respectively. Approximately $0.9 million and $1.3 million of account receivables as of March 31, 2021 and December 31, 2020, respectively, was from DSS with a merchant agreement, under which the Company uses DSS credit card platform to collect money from our direct sales.

The Company monitors its account receivables balances monthly to ensure that they are collectible. On a quarterly basis, the Company uses its historical experience to estimate its allowance for doubtful account receivables. The Company’s allowance for doubtful accounts represents an estimate of the losses expected to be incurred based on specifically identified accounts as well as nonspecific amount, when determined appropriate. Generally, the amount of the allowance is primarily decided by division management’s historical experience, the delinquency trends, the resolution rates, the aging of receivables, the credit quality indicators and financial health of specific customers. As of March 31, 2021 and December 31, 2020, the allowance was $0.

Inventories

Inventories

Inventories are stated at the lower of cost or net realizable value. Cost is determined using the first-in, first-out method and includes all costs in bringing the inventories to their present location and condition. Net realizable value is the estimated selling price in the ordinary course of business less the estimated costs necessary to make the sale. As of March 31, 2021 and December 31, 2020, inventory consisted of finished goods from HWH World Inc. The Company continuously evaluates the need for reserve for obsolescence and possible price concessions required to write-down inventories to net realizable value. 

Investment Securities

Investment Securities

Investment Securities at Fair Value

The Company holds investments in equity securities with readily determinable fair values, equity investments without readily determinable fair values, investments accounted for under the equity method, and investments at cost.

Prior to the adoption of Financial Accounting Standards Board (“FASB”) Accounting Standards Update (“ASU”) 2016-01, Financial Instruments-Overall (Subtopic 825-10): Recognition and Measurement of Financial Assets and Financial Liabilities, investments in equity securities were classified as either 1) available-for-sale securities, stated at fair value, and unrealized holding gains and losses, net of related tax effects, were recorded directly to accumulated other comprehensive income (loss) or 2) trading securities, stated at fair value, and unrealized holding gains and losses, net of related tax benefits, were recorded directly to net income (loss). With the adoption of ASU 2016-01 on January 1, 2018, investments in equity securities are still stated at fair value, quoted by market prices, but all unrealized holding gains and losses are credited or charged to net income (loss) based on fair value measurement as the respective reporting date.

The Company accounts for certain of its investments in equity securities in accordance with ASU 2016-01 Financial Instruments—Overall (Subtopic 825- 10): Recognition and Measurement of Financial Assets and Financial Liabilities (“ASU 2016-01”). In accordance with ASU 2016-01, the Company records all equity investments with readily determinable fair values at fair value calculated by the publicly traded stock price at the close of the reporting period. Amarantus BioScience Holdings (“AMBS”) and Ture Partner Capital Holding Limited (“True Partner”) are publicly traded companies. The Company does not have significant influence over AMBS and True Partner, as the Company is the beneficial owner of approximately 5.4% of the common shares of AMBS and 15.5% of True Partner. The stock’s fair value is determined by quoted stock prices.

The Company has elected the fair value option for the equity securities noted below that would otherwise be accounted for under the equity method of accounting. Holista CollTech Limited (“Holista”), Document Securities Systems Inc. (“DSS”), OptimumBank Holdings, Inc. (“OptimumBank”) and American Premium Water Corp (“APW”) are publicly traded companies and fair value is determined by quoted stock prices. The Company has significant influence but does not have a controlling interest in these investments, and therefore, the Company’s investment could be accounted for under the equity method of accounting or elect fair value accounting.

● The Company has significant influence over DSS. As of March 31, 2021 and December 31, 2020, the Company owned the common stock of DSS and 42,575 shares of preferred stock, which could covert to 6,570,216 common shares, subject to a 19.9% beneficial ownership conversion limitation (a so-called “blocker”) based on the total issued outstanding shares of common stock of DSS beneficially owned by Global BioMedical Pte Ltd (“GBM”), one of our subsidiaries. Our CEO is a Stockholder and the Chairman of the Board of Directors of DSS. Chan Tung Moe, the son of Chan Heng Fai, is also a director of DSS.

● The Company has significant influence over Holista as the Company and its CEO are the beneficial owner of approximately 16.8% of the outstanding shares of Holista and our CEO holds a position on Holista’s Board of Directors.

● The Company has significant influence over OptimumBank. Our CEO is the beneficial owner of approximately 3.9% of the outstanding shares of OptimumBank and holds a position on OptimumBank’s Board of Directors.

● The Company has significant influence over APW as the Company is the beneficial owner of approximately 8.7% of the common shares of APW and one officer from the Company holds a director position on APW’s Board of Directors.

The Company invested $50,000 in a convertible promissory note of Sharing Services, Inc. (“Sharing Services Convertible Note”), a company quoted on the US OTC market. The value of the convertible note was estimated by management using a Black-Scholes valuation model. The fair value of the note was $64,991 and $66,978 on March 31, 2021 and December 31, 2020, respectively.

On February 26, 2021, the Company invested approximately $88,599 in the convertible note of Vector Com Co., Ltd (“Vector Com”), a private company in South Korea. The interest rate is 2% per annum and maturity is two years. The conversion price is approximately $21.26, per common share of Vector Com. As of March 31, 2021, the Management estimated that the fair value of the note to be $88,599, the initial transaction price.

On March 2, 2020, the Company received warrants to purchase shares of American Medical REIT Inc. (“AMRE”), a related party private startup company, in conjunction with the Company lending a $200,000 promissory note. For further details on this transaction, refer to Note 8 - Related Party Transactions, Note Receivable from a Related Party Company. As of March 31, 2021 and December 31, 2020, AMRE was a private company. Based on management’s analysis, the fair value of the AMRE warrants and the stock option was $0 as of March 31, 2021 and December 31, 2020.

The Company held a stock option to purchase 250,000 shares of Vivacitas common stock at $1 per share at any time prior to the date of a public offering by Vivacitas. As of December 31, 2020, Vivacitas was a private company. Based on management’s analysis, the fair value of the Vivacitas stock option was $0 as of December 31, 2020. On March 18, 2021 the Company sold the subsidiary holding the ownership in Vivacitas to an indirect subsidiary of DSS. For further details on this transaction, refer to Note 9 - Related Party Transactions, Sale of Investment in Vivacitas to DSS.

In the first quarter of 2021, the Company subsidiaries established a portfolio of trading securities. The objective is to generate profits on short-term differences in market prices. During the three months ended March 31, 2021, the Company incurred approximately $4.6 million in purchase of trading securities, received approximately $1.9 million for sale and $285,245 was recognized as realized loss on securities investment.

Investment Securities at Cost

The Company had an equity holding in Vivacitas Oncology Inc. (“Vivacitas”), a private company that is currently not listed on an exchange. Vivacitas was acquired after the adoption of ASU 2016-01. The Company applied ASC 321, Investments – Equity Securities, and elected the measurement alternative for equity investments that do not have readily determinable fair values and do not qualify for the practical expedient in ASC 820 to estimate fair value using the NAV per share. Under the alternative, we measure Vivacitas at cost, less any impairment, plus or minus changes resulting from observable price changes in orderly transactions for an identical or similar investment of the same issuer. Ownership in Vivacitas was sold on March 18, 2021 at the price of $2,480,000 to DSS. The difference of $2,279,872 between the selling price and our original investment cost was recorded as additional paid capital considering a related party transaction. For further details on this transaction, refer to Note 9 – Related Party Transactions.

On September 8, 2020, the Company acquired 1,666 shares, approximately 1.45% ownership, from Nervotec Pte Ltd (“Nervotec”), a private company, at the purchase price of $37,826. The Company applied ASC 321 and measured Nervotec at cost, less any impairment, plus or minus changes resulting from observable price changes in orderly transactions for an identical or similar investment of the same issuer.

On September 30, 2020, the Company acquired 20,000 shares, approximately 19% ownership, from Hyten Global (Thailand) Co., Ltd (“Hyten”), a private company, at a purchase price of $42,562. Hyten is a direct sales company in Thailand. The Company does not have significant influence over Hyten and applied ASC 321 and measured Hyten at cost, less any impairment, plus or minus changes resulting from observable price changes in orderly transactions for an identical or similar investment of the same issuer.

In the first quarter of 2021, the Company invested $19,609 in K Beauty Research Lab Co., Ltd (“K Beauty”) for 18% ownership. K Beauty was established for sourcing, developing and producing variety of Korea-made beauty products as well as Korea - originated beauty contents for the purpose of distribution to HWH’s membership distribution channel.

There has been no indication of impairment or changes in observable prices via transactions of similar securities and investments are still carried at cost.

Investment Securities under Equity Method Accounting

American Medical REIT Inc.

LiquidValue Asset Management Pte. Ltd. (“LiquidValue”), a subsidiary of the Company owns 36.1% of American Medical REIT Inc. (“AMRE”), a startup REIT company concentrating on medical real estate. AMRE acquires state-of-the-art, purpose-built healthcare facilities and leases them to leading clinical operators with dominant market share under secure triple net leases. AMRE targets hospitals (both Critical Access and Specialty Surgical), Physician Group Practices, Ambulatory Surgical Centers, and other licensed medical treatment facilities. Chan Heng Fai, our CEO, is the executive chairman and director of AMRE. LiquidValue did not invest equity but provided a loan to AMRE (for further details on this transaction, refer to Note 9, Related Party Transactions). On balance sheet, the prorate loss from AMRE was recorded as a liability, accumulated losses on equity method investment. During three months ended March 31, 2021 and 2020, the investment losses from AMRE were $24,847 and $0, respectively. As of March 31, 2021 and December 31, 2020, the accumulated losses on equity method investment were $290,776 and $265,929, respectively.

Real Estate Assets

Real Estate Assets

Real estate assets are recorded at cost, except when real estate assets are acquired that meet the definition of a business combination in accordance with Financial Accounting Standards Board (“FASB”) ASC 805 - “Business Combinations”, which acquired assets are recorded at fair value. Interest, property taxes, insurance and other incremental costs (including salaries) directly related to a project are capitalized during the construction period of major facilities and land improvements. The capitalization period begins when activities to develop the parcel commence and ends when the asset constructed is completed. The capitalized costs are recorded as part of the asset to which they relate and are reduced when lots are sold.

The Company capitalized construction costs of approximately $1.2 million and $2.4 million for the three months ended March 31, 2021 and 2020, respectively.

The Company’s policy is to obtain an independent third-party valuation for each major project in the United States as part of our assessment of identifying potential triggering events for impairment. Management may use the market comparison method to value other relatively small projects, such as the project in Perth, Australia. In addition to the annual assessment of potential triggering events in accordance with ASC 360 – Property Plant and Equipment (“ASC 360”), the Company applies a fair value-based impairment test to the net book value assets on an annual basis and on an interim basis if certain events or circumstances indicate that an impairment loss may have occurred.

The Company did not record impairment on any of its projects during the three months ended on March 31, 2021 and 2020.

Properties under development

Properties under development are properties being constructed for sale in the ordinary course of business, rather than to be held for the Company’s own use, rental or capital appreciation.

Rental Properties

Rental properties are acquired with the intent to be rented to tenants. On March 15, 2021 Alset EHome, Inc. signed twenty separate Purchase Agreements, to acquire 20 homes in Montgomery County, Texas. On March 31, 2021, the first batch of 10 homes was closed with the purchase cost of $2,161,680. All of these purchased homes are properties of our rental business.

Revenue Recognition and Cost of Sales

Revenue Recognition and Cost of Sales

ASC 606 - Revenue from Contracts with Customers (“ASC 606”), establishes principles for reporting information about the nature, amount, timing and uncertainty of revenue and cash flows arising from the entity’s contracts to provide goods or services to customers. The Company adopted this new standard on January 1, 2018 under the modified retrospective method. The adoption of this new standard did not have a material effect on our financial statements.

In accordance with ASC 606, revenue is recognized when a customer obtains control of promised goods or services. The amount of revenue recognized reflects the consideration to which the Company expects to be entitled to receive in exchange for these goods or services. The provisions of ASC 606 include a five-step process by which the determination of revenue recognition, depicting the transfer of goods or services to customers in amounts reflecting the payment to which the Company expects to be entitled in exchange for those goods or services. ASC 606 requires the Company to apply the following steps:

(1) identify the contract with the customer; (2) identify the performance obligations in the contract; (3) determine the transaction price; (4) allocate the transaction price to the performance obligations in the contract; and (5) recognize revenue when, or as, performance obligations are satisfied.

The following represents the Company’s revenue recognition policies by Segments:

Property Development

Property Sales

The Company’s main business is land development. The Company purchases land and develops it for building into residential communities. The developed lots are sold to builders (customers) for the construction of new homes. The builders enter a sales contract with the Company before they take the lots. The prices and timeline are determined and agreed upon in the contract. The builders do the inspections to make sure all conditions and requirements in contracts are met before purchasing the lots. A detailed breakdown of the five-step process for the revenue recognition of the Ballenger and Black Oak projects, which represented approximately 69% and 100%, respectively, of the Company’s revenue in the three months ended on March 31, 2021 and 2020, is as follows:

● Identify the contract with a customer.

The Company has signed agreements with the builders for developing the raw land to ready to build lots. The contract has agreed upon prices, timelines, and specifications for what is to be provided.

● Identify the performance obligations in the contract.

Performance obligations of the Company include delivering developed lots to the customer, which are required to meet certain specifications that are outlined in the contract. The customer inspects all lots prior to accepting title to ensure all specifications are met.

● Determine the transaction price.

The transaction price per lot is fixed and specified in the contract. Any subsequent change orders or price changes are required to be approved by both parties.

● Allocate the transaction price to performance obligations in the contract.

Each lot or a group of lots is considered to be a separate performance obligation, for which the specified price in the contract is allocated to.

● Recognize revenue when (or as) the entity satisfies a performance obligation.

The builders do the inspections to make sure all conditions/requirements are met before taking title of lots. The Company recognizes revenue at a point in time when title is transferred. The Company does not have further performance obligations or continuing involvement once title is transferred.

Sale of the Front Foot Benefit Assessments

We have established a front foot benefit (“FFB”) assessment on all of the NVR lots. This is a 30-year annual assessment allowed in Frederick County which requires homeowners to reimburse the developer for the costs of installing public water and sewer to the lots. These assessments become effective as homes are settled, at which time we can sell the collection rights to investors who will pay an upfront lump sum, enabling us to realize the revenue more quickly. The selling prices range from $3,000 to $4,500 per home depending on the type of the home. Our total revenue from the front foot benefit assessment is approximately $1 million. To recognize revenue of FFB assessment, both our and NVR’s performance obligation must be satisfied. Our performance obligation is completed once we complete the construction of water and sewer facility and close the lot sales with NVR, which inspects these water and sewer facility prior to close lot sales to ensure all specifications are met. NVR’s performance obligation is to sell homes they build to homeowners. Our FFB revenue is recognized on quarterly basis after NVR closes sales of homes to homeowners. The agreement with these FFB investors is not subject to amendment by regulatory agencies and thus our revenue from FFB assessment is not either. During the three months ended on March 31, 2021 and 2020, we recognized revenue $107,071 and $40,322 from FFB assessment, respectively.

Cost of Sales

Land acquisition costs are allocated to each lot based on the area method, the size of the lot comparing to the total size of all lots in the project. Development costs and capitalized interest are allocated to lots sold based on the total expected development and interest costs of the completed project and allocating a percentage of those costs based on the selling price of the sold lot compared to the expected sales values of all lots in the project.

If allocation of development costs and capitalized interest based on the projection and relative expected sales value is impracticable, those costs could also be allocated based on area method, the size of the lot comparing to the total size of all lots in the project.

Biohealth

Product Direct Sales

The Company’s net sales consist of product sales. The Company’s performance obligation is to transfer its products to its third-party independent distributors (“Distributors”). The Company generally recognizes revenue when product is shipped to its Distributors.

The Company’s Distributors may receive distributor allowances, which are comprised of discounts, rebates and wholesale commission payments from the Company. Distributor allowances resulting from the Company’s sales of its products to its Distributors are recorded against net sales because the distributor allowances represent discounts from the suggested retail price.

In addition to distributor allowances, the Company compensates its sales leader Distributors with leadership incentives for services rendered, relating to the development, retention, and management of their sales organizations. Leadership incentives are payable based on achieved sales volume, which are recorded in general and administrative expenses. The Company recognizes revenue when it ships products. The Company receives the net sales price in cash or through credit card payments at the point of sale.

If a Distributor returns a product to the Company on a timely basis, he/she may obtain a replacement product from the Company for such returned products. In addition, the Company maintains a buyback program pursuant to which it will repurchase products sold to a Distributor who has decided to leave the business. Allowances for product returns, primarily in connection with the Company’s buyback program, are provided at the time the sale is recorded. This accrual is based upon historical return rates for each country and the relevant return pattern, which reflects anticipated returns to be received over a period of up to 12 months following the original sale.

Annual Membership

The Company collects an annual membership fee from its Distributors. The fee is fixed, paid in full at the time of joining the membership and non-refundable. The membership provides the member access to purchase products at a discount, use to certain back-office services, receive commissions for signing up new members, and attend corporate events. The Company recognizes revenue associated with the membership over the period of the membership. Before the membership fee is recognized as revenue, it is recorded as deferred revenue. Deferred revenue relating to membership was $3,430,893 and $2,867,226 at March 31, 2021 and December 31, 2020, respectively.

Other Businesses

Remaining performance obligations

As of March 31, 2021 and December 31, 2020, there were no remaining performance obligations or continuing involvement, as all service obligations within the other business activities segment have been completed.

Foreign Currency

Foreign currency

Functional and reporting currency

Items included in the financial statements of each entity in the Company are measured using the currency of the primary economic environment in which the entity operates (“functional currency”). The financial statements of the Company are presented in U.S. dollars (the “reporting currency”).

The functional and reporting currency of the Company is the United States dollar (“U.S. dollar”). The financial records of the Company’s subsidiaries located in Singapore, Hong Kong, Australia and South Korea are maintained in their local currencies, the Singapore Dollar (S$), Hong Kong Dollar (HK$), Australian Dollar (“AUD”) and South Korean Won (“KRW”), which are also the functional currencies of these entities.

Transactions in foreign currencies

Transactions in currencies other than the functional currency during the periods are converted into functional currency at the applicable rates of exchange prevailing when the transactions occurred. Transaction gains and losses are recognized in the statement of operations.

The majority of the Company’s foreign currency transaction gains or losses come from the effects of foreign exchange rate changes on the intercompany loans between Singapore entities and U.S. entities. The Company recorded foreign exchange gain of $1,462,697 and $2,260,482 during the three months ended on March 31, 2021 and 2020, respectively. The foreign currency transactional gains and losses are recorded in operations.

Translation of consolidated entities’ financial statements

Monetary assets and liabilities denominated in currencies other than the functional currency are translated into the functional currency at the rates of exchange ruling at the balance sheet date. The Company’s entities with functional currency of Singapore Dollar, Hong Kong Dollar, AUD and KRW, translate their operating results and financial positions into the U.S. dollar, the Company’s reporting currency. Assets and liabilities are translated using the exchange rates in effect on the balance sheet date. Revenue, expense, gains and losses are translated using the average rate for the year. Translation adjustments are reported as cumulative translation adjustments and are shown as a separate component of comprehensive income (loss).

For the three months ended on March 31, 2021, the Company recorded other comprehensive loss from foreign currency translation of $1,769,440 and a $1,674,021 loss in the three months ended March 31, 2020, in accumulated other comprehensive loss.

Non-controlling Interests

Non-controlling interests

Non-controlling interests represent the equity in subsidiary not attributable, directly or indirectly, to owners of the Company, and are presented separately in the consolidated statements of operation and comprehensive income, and within equity in the Consolidated Balance Sheets, separately from equity attributable to owners of the Company.

On March 31, 2021 and December 31, 2020, the aggregate non-controlling interests in the Company were $33,673,855 and $37,980,325, respectively.

Capitalized Financing Costs

Capitalized Financing Costs

Financing costs, such as loan origination fee, administration fee, interests and other related financing costs, should be capitalized and recorded on the balance sheet if these financing activities are directly associated with the development of real estates.

Capitalized Financing Costs are allocated to lots sold based on the total expected development and interest costs of the completed project and allocating a percentage of those costs based on the selling price of the sold lot compared to the expected sales values of all lots in the project. If the allocation of capitalized financing costs based on the projection and relative expected sales value is impracticable, those costs could also be allocated based on an area method, which uses the size of the lots compared to the total project area and allocates costs based on their size.

As of March 31, 2021 and December 31, 2020, the capitalized financing costs were $3,348,112 and $3,513,535, respectively.

Beneficial Conversion Features

Beneficial Conversion Features

The Company evaluates the conversion feature for whether it was beneficial as described in ASC 470-30. The intrinsic value of a beneficial conversion feature inherent to a convertible note payable, which is not bifurcated and accounted for separately from the convertible note payable and may not be settled in cash upon conversion, is treated as a discount to the convertible note payable. This discount is amortized over the period from the date of issuance to the date the note is due using the effective interest method. If the note payable is retired prior to the end of its contractual term, the unamortized discount is expensed in the period of retirement to interest expense. In general, the beneficial conversion feature is measured by comparing the effective conversion price, after considering the relative fair value of detachable instruments included in the financing transaction, if any, to the fair value of the shares of common stock at the commitment date to be received upon conversion.

Recent Accounting Pronouncements

Recent Accounting Pronouncements

Accounting pronouncement not yet adopted

In June 2016, the FASB issued ASU No. 2016-13, “Financial Instruments - Credit Losses (Topic 326): Measurement of Credit Losses on Financial Instruments” (“ASU 2016-13”). ASU 2016-13 requires financial assets measured at amortized cost to be presented at the net amount expected to be collected. The measurement of expected credit losses is based on relevant information about past events, including historical experience, current conditions, and reasonable and supportable forecasts that affect the collectability of the reported amounts. An entity must use judgment in determining the relevant information and estimation methods that are appropriate in its circumstances. ASU 2016-13 is effective for annual reporting periods beginning after December 15, 2019, including interim periods within those fiscal years, and a modified retrospective approach is required, with a cumulative-effect adjustment to retained earnings as of the beginning of the first reporting period in which the guidance is effective. In November of 2019, the FASB issued ASU 2019-10, which delayed the implementation of ASU 2016-13 to fiscal years beginning after December 15, 2022 for smaller reporting companies. The Company is currently evaluating the impact of ASU 2016-13 on its future consolidated financial statements.

In March 2020, the FASB issued ASU 2020-04, Reference Rate Reform (Topic 848): Facilitation of Reference Rate Reform on Financial Reporting. The amendments in this Update provide optional expedients and exceptions for applying generally accepted accounting principles (GAAP) to contracts, hedging relationships, and other transactions affected by reference rate reform if certain criteria are met. The amendments in this Update apply only to contracts, hedging relationships, and other transactions that reference LIBOR or another reference rate expected to be discontinued because of reference rate reform. The Company’s line of credit agreement provides procedures for determining a replacement or alternative rate in the event that LIBOR is unavailable. The amendments in this Update are effective for all entities as of March 12, 2020 through December 31, 2022. The Company is currently evaluating the impact of ASU 2020-04 on its future consolidated financial statements.

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Summary of Significant Accounting Policies (Tables)

3 Months Ended

Mar. 31, 2021

Accounting Policies [Abstract]

Schedule of Subsidiaries

The Company’s consolidated financial statements include the financial position, results of operations and cash flows of the following entities as of March 31, 2021 and December 31, 2020, as follows:

		Attributable interest as of,
Name of subsidiary consolidated under AEI	State or other jurisdiction of incorporation or organization	March 31, 2021			December 31, 2020
			%			%
Hengfai International Pte. Ltd	Singapore		100			100
Hengfai Business Development Pte. Ltd	Singapore		100			100
Heng Fai Enterprises Pte. Ltd.	Singapore		-			100
Global eHealth Limited	Hong Kong		100			100
Alset International Inc. (f.k.a. Singapore eDevelopment Limited)	Singapore		57.1			57.1
Singapore Construction & Development Pte. Ltd.	Singapore		57.1			57.1
Art eStudio Pte. Ltd.	Singapore		29.1	*		29.1	*
Singapore Construction Pte. Ltd.	Singapore		57.1			57.1
Global BioMedical Pte. Ltd.	Singapore		57.1			57.1
Alset Innovation Pte. Ltd. (f.k.a. SeD Investment Pte. Ltd.)	Singapore		57.1			57.1
Health Wealth Happiness Pte. Ltd.	Singapore		57.1			57.1
SeD Capital Pte. Ltd.	Singapore		57.1			57.1
LiquidValue Asset Management Pte. Ltd. (f.k.a. HengFai Asset Management Pte. Ltd.)	Singapore		64.8			46.9	*
SeD Home Limited	Hong Kong		57.1			57.1
SeD Management Pte. Ltd. (f.k.a. SeD Reits Management Pte. Ltd.)	Singapore		57.1			57.1
Global TechFund of Fund Pte. Ltd.	Singapore		57.1			57.1
Singapore eChainLogistic Pte. Ltd.	Singapore		57.1			57.1
BMI Capital Partners International Limited.	Hong Kong		57.1			57.1
SeD Perth Pty. Ltd.	Australia		57.1			57.1
SeD Intelligent Home Inc. (f.k.a SeD Home International, Inc.)	United States of America		57.1			57.1
LiquidValue Development Inc. (f.k.a. SeD Intelligent Home Inc.)	United States of America		57.1			57.1
Alset EHome Inc. (f.k.a. Alset iHome Inc., SeD Home & REITs Inc. and SeD Home, Inc.)	United States of America		57.1			57.1
SeD USA, LLC	United States of America		57.1			57.1
150 Black Oak GP, Inc.	United States of America		57.1			57.1
SeD Development USA Inc.	United States of America		57.1			57.1
150 CCM Black Oak, Ltd.	United States of America		57.1			57.1
SeD Texas Home, LLC	United States of America		57.1			57.1
SeD Ballenger, LLC	United States of America		57.1			57.1
SeD Maryland Development, LLC	United States of America		47.7	*		47.8	*
SeD Development Management, LLC	United States of America		48.5	*		48.6	*
SeD Builder, LLC	United States of America		57.1			57.1
GigWorld Inc. (f.k.a. HotApp Blockchain Inc.)	United States of America		56.9			57.0
HotApp BlockChain Pte. Ltd. (f.k.a. HotApps International Pte. Ltd.)	Singapore		56.9			57.0
HotApp International Limited	Hong Kong		56.9			57.0
HWH International, Inc.	United States of America		57.1			57.1
Health Wealth & Happiness Inc.	United States of America		57.1			57.1
HWH Multi-Strategy Investment, Inc.	United States of America		57.1			57.1
SeDHome Rental Inc	United States of America		57.1			57.1
SeD REIT Inc.	United States of America		57.1			57.1
Gig Stablecoin Inc. (f.k.a. Crypto Exchange Inc.)	United States of America		56.9			57.0
HWH World Inc.	United States of America		56.9			57.0
HWH World Pte. Ltd.	Singapore		56.9			57.0
UBeauty Limited	Hong Kong		57.1			57.1
WeBeauty Korea Inc	Korea		57.1			57.1
HWH World Limited	Hong Kong		57.1			57.1
HWH World Inc.	Korea		57.1			57.1
Alset BioHealth Pte. Ltd.	Singapore		57.1			57.1
Alset Energy Pte. Ltd.	Singapore		57.1			57.1
Alset Payment Inc.	United States of America		57.1			57.1
Alset World Pte. Ltd.	Singapore		57.1			57.1
BioHealth Water Inc.	United States of America		57.1			57.1
Impact BioHealth Pte. Ltd.	Singapore		57.1			57.1
American Home REIT Inc.	United States of America		64.8			46.9	*
Alset Solar Inc.	United States of America		45.7	*		45.7	*
HWH KOR Inc.	United States of America		57.1			57.1
Open House Inc.	United States of America		57.1			57.1
Open Rental Inc.	United States of America		57.1			57.1
Hapi Cafe Inc. (Nevada)	United States of America		57.1			57.1
Global Solar REIT Inc.	United States of America		57.1			57.1
OpenBiz Inc.	United States of America		57.1			57.1
Hapi Cafe Inc. (Texas)	United States of America		100			100
HWH (S) Pte. Ltd.	Singapore		57.1			-
American Pacific Bancorp Inc.	United States of America		86.44			-
Hengfeng Finance Limited	Hong Kong		86.44			-
Decentralize Finance Inc.	United States of America		86.44			-
True Partner International Limited	Hong Kong		100			-
LiquidValue Development Pte. Ltd.	Singapore		100			-
LiquidValue Development Limited.	Hong Kong		100			-

*Although the Company indirectly holds percentage of shares of these entities less than 50%, the subsidiaries of the Company directly hold more than 50% of shares of these entities, and therefore, they are still consolidated into the Company.

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Segments (Tables)

3 Months Ended

Mar. 31, 2021

Segment Reporting [Abstract]

Schedule of Segment Information

The following table summarizes the Company’s segment information for the following balance sheet dates presented, and for the three months ended March 31, 2021 and 2020:

	Property Development			Digital Transformation Technology			Biohealth Business			Other			Total
Three Months Ended March 31, 2021
Revenue	$	3,894,131		$	-		$	1,712,783		$	-		$	5,606,914
Cost of Sales		(3,614,832	)		-			(83,022	)		-			(3,697,854	)
Gross Margin		279,299			-			1,629,761			-			1,909,060
Operating Expenses		(359,489	)		(30,128	)		(846,480	)		(1,076,408	)		(2,312,505	)
Operating Income (Loss)		(80,190	)		(30,128	)		783,281			(1,076,408	)		(403,445	)
Other Income (Expense)		(9,873	)		(36,471	)		(8,371,117	)		(532,505	)		(8,949,966	)
Net Income (Loss) Before Income Tax		(90,063	)		(66,599	)		(7,587,836	)		(1,608,913	)		(9,353,411	)

	Property Development			Digital Transformation Technology			Biohealth Business			Other			Total
Three Months ended March 31, 2020
Revenue	$	2,954,389		$	-		$	10,782		$	-		$	2,965,171
Cost of Sales		(2,380,820	)		-			(2,883	)		-			(2,383,703	)
Gross Margin		573,569			-			7,899			-			581,468
Operating Expenses		(277,056	)		(18,228	)		(132,791	)		(575,784	)		(1,003,859	)
Operating Income (Loss)		296,513			(18,228	)		(124,892	)		(575,784	)		(422,391	)
Other Income (Expense)		7,539			(92,477	)		193			2,762,701			2,677,956
Net Income (Loss) Before Income Tax		304,052			(110,705	)		(124,699	)		2,186,917			2,255,565
March 31, 2021
Cash and Restricted Cash	$	9,842,218		$	154,738		$	3,251,622		$	15,756,505		$	29,005,083
Total Assets		30,877,470			154,840			43,241,793			34,523,886			108,797,989
December 31, 2020
Cash and Restricted Cash	$	8,150,769		$	158,058		$	1,590,265		$	21,336,364		$	31,235,456
Total Assets		28,954,484			158,160			524,603			77,574,674			107,211,921

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Business Under Common Control (Tables)

3 Months Ended

Mar. 31, 2021

Business Under Common Control

Schedule of Adjustment Information

Consolidated Statement of Operations and Other Comprehensive Income for the Three Months Ended on March 31, 2020

	As Previously Reported			Acquisition of APB under Common Control			Acquisition of LVD Ltd under Common Control			As Combined
Revenue
Property Sales	$	2,954,389		$	-		$	-		$	2,954,389
Biohealth Product Sales		10,782			-			-			10,782
		2,965,171			-			-			2,965,171
Operating Expenses
Cost of Sales		2,383,703			-			-			2,383,703
General and Administrative		920,124			81,226			500			1,001,850
Research and Development		2,009			-			-			2,009
Total Operating Expenses		3,305,836			81,226			500			3,387,562
Loss From Operations		(340,665	)		(81,226	)		(500	)		(422,391	)
Other Income (Expense)
Interest Income		7,810			11,580			25			19,415
Interest Expense		(60,931	)		-			-			(60,931	)
Foreign Exchange Transaction Gain (Loss)		2,118,952			-			141,530			2,260,482
Unrealized Gain (Loss) on Securities Investment		484,362			(26,034	)		94			458,422
Finance Costs		-			(4,890	)		(13	)		(4,903	)
Other Income		5,471			-			-			5,471
Total Other Income (Expense), Net		2,555,664			(19,344	)		141,636			2,677,956
Net Income (Loss) Before Income Taxes		2,214,999			(100,570	)		141,136			2,255,565
Income Tax		-			-			-			-
Net Income (Loss)		2,214,999			(100,570	)		141,136			2,255,565
Net Income (Loss) Attributable to Non-Controlling Interest		643,139			(6,436	)		-			636,703
Net Income (Loss) Attributable to Common Stockholders	$	1,571,860		$	(94,134	)	$	141,136		$	1,618,862
Other Comprehensive Loss, Net
Unrealized Loss on Securities Investment		(12,599	)		-			-			(12,599	)
Foreign Currency Translation Adjustment		(1,674,021	)		-			-			(1,674,021	)
Comprehensive Income (Loss)		528,379			(100,570	)		141,136			568,945
Comprehensive Income (Loss) Attributable to Non-controlling Interests		59,569			(6,436	)		-			53,133
Comprehensive Income (Loss) Attributable to Common Stockholders	$	468,810		$	(94,134	)	$	141,136		$	515,812
Net Income Per Share - Basic and Diluted	$	0.16								$	0.16
Weighted Average Common Shares Outstanding - Basic and Diluted		10,001,000									10,001,000

Consolidated Balance Sheet as of December 31, 2020

	As Previously Reported			Acquisition of APB under Common Control			Acquisition of LVD Ltd under Common Control			Eliminations			As Combined
Assets:
Current Assets:
Cash	$	22,124,491		$	1,848,455		$	492,977		$	-		$	24,465,923
Restricted Cash		6,769,533			-			-			-			6,769,533
Account Receivables, Net		1,366,194			-			-			-			1,366,194
Other Receivables		270,222			279,177			95,177			-			644,576
Note Receivables - Related Party		624,986			24,583			-			-			649,569
Prepaid Expenses		1,470,680			-			-			-			1,470,680
Inventory		90,068			-			-			-			90,068
Investment in Securities at Fair Value		48,857,483			313,343			1,631			-			49,172,457
Investment in Securities at Cost		280,516			-			-			-			280,516
Investment in Securities on Equity Method		-			-			74,535			(74,535	)		-
Deposits		47,019			-			-			-			47,019
Total Current Assets		81,901,192			2,465,558			664,320			(74,535	)		84,956,535
Real Estate
Properties under Development		20,505,591			-			-			-			20,505,591
Operating Lease Right-Of-Use Asset		574,754			-			-			-			574,754
Deposit		249,676			-			-			-			249,676
Loan Receivable		-			840,000			-			-			840,000
Property and Equipment, Net		85,365			-			-			-			85,365
Total Assets	$	103,316,578		$	3,305,558		$	664,320		$	(74,535	)	$	107,211,921
Liabilities and Stockholders’ Equity:
Current Liabilities:
Accounts Payable and Accrued Expenses	$	1,553,132		$	117,188		$	-		$	-		$	1,670,320
Deferred Revenue		2,867,226			-			-			-			2,867,226
Builder Deposits		1,262,336			-			-			-			1,262,336
Operating Lease Liability		381,412			-			-			-			381,412
Note Payable		172,706			-			-			-			172,706
Note Payable- Related Parties		1,526,208			-			823,823			-			2,350,031
Total Current Liabilities		7,763,020			117,188			823,823			-			8,704,031
Long-Term Liabilities:
Builder Deposits		-			-			-			-			-
Operating Lease Liability		193,342			-			-			-			193,342
Notes Payable		636,362			-			-			-			636,362
Total Liabilities		8,592,724			117,188			823,823			-			9,533,735
Stockholders’ Equity:
Common Stock		8,570			47,756			-			(47,756	)		8,570
Additional Paid In Capital		97,950,440			3,584,982			756,487			47,756			102,339,666
Accumulated Deficit		(43,010,991	)		(876,712	)		(906,010	)		-			(44,793,713	)
Accumulated Other Comprehensive Income		2,153,318			-			(9,980	)		-			2,143,338
Total Stockholders’ Equity		57,101,337			2,756,027			(159,503	)		-			59,697,861
Non-controlling Interests		37,622,517			432,343			-			(74,535	)		37,980,325
Total Stockholders’ Equity		94,723,854			3,188,370			(159,503	)		(74,535	)		97,678,186
Total Liabilities and Stockholders’ Equity	$	103,316,578		$	3,305,558		$	664,320		$	(74,535	)	$	107,211,921

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Real Estate Assets (Tables)

3 Months Ended

Mar. 31, 2021

Real Estate [Abstract]

Schedule of Real Estate Assets

As of March 31, 2021 and December 31, 2020, real estate assets consisted of the following:

	March 31, 2021		December 31, 2020
Construction in Progress	$	7,465,347	$	9,567,841
Land Held for Development		10,638,686		10,937,750
Rental Properties		2,161,680		-
Total Real Estate Assets	$	20,265,713	$	20,505,591

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Notes Payable (Tables)

3 Months Ended

Mar. 31, 2021

Debt Disclosure [Abstract]

Schedule of Notes Payable

As of March 31, 2021 and December 31, 2020, notes payable consisted of the following:

	March 31, 2021		December 31, 2020
M&T Bank Loan, Net of Debt Discount		651,034		636,362
PPP Loan		68,502		-
Australia Loan		170,433		172,706
Total notes payable	$	889,969	$	809,068

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Equity (Tables)

3 Months Ended

Mar. 31, 2021

Equity [Abstract]

Schedule of Warrant Activity

Following table summarizes the warrant activity for the three months ended March 31, 2021.

	Warrant for				Remaining Contractual		Aggregate
	Common Shares		Exercise Price		Term (Years)		Intrinsic Value
Outstanding as of December 31, 2020		108,000	$	9.80		2.95	$	-
Vested and exercisable at December 31, 2020		108,000	$	9.80		2.95	$	-
Granted		-		-
Exercised		-		-
Forfeited, cancelled, expired		-		-
Outstanding as of March 31, 2021		108,000	$	9.80		2.70	$	191,160
Vested and exercisable at March 31, 2021		108,000	$	9.80		2.70	$	191,160

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Accumulated Other Comprehensive Income (Tables)

3 Months Ended

Mar. 31, 2021

Accumulated Other Comprehensive Income Abstract

Schedule of Changes in the Balances of Accumulated Other Comprehensive Income, Net of Tax

Following is a summary of the changes in the balances of accumulated other comprehensive income, net of tax:

	Unrealized Gains and Losses on Security Investment			Foreign Currency Translations			Change in Minority Interest			Total
Balance at January 1, 2021	$	(48,758	)	$	2,258,017		$	(65,921	)	$	2,143,338
Other Comprehensive Income		(1,135	)		(1,010,527	)		(39,067	)		(1,050,729	)
Balance at March 31, 2021	$	(49,893	)	$	1,247,490		$	(104,988	)	$	1,092,609

	Unrealized Gains and Losses on Security Investment			Foreign Currency Translations			Change in Minority Interest			Total
Balance at January 1, 2020	$	(59,888	)	$	1,603,145		$	(84,968	)	$	1,458,289
Other Comprehensive Income		(8,240	)		(1,094,810	)		-			(1,103,050	)
Balance at March 31, 2020	$	(68,128	)	$	508,335		$	(84,968	)	$	355,239

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Investments Measured at Fair Value (Tables)

3 Months Ended

Mar. 31, 2021

Schedule of Financial Assets Measured at Fair Value on a Recurring Basis

Financial assets measured at fair value on a recurring basis are summarized below and disclosed on the consolidated balance sheet as of March 31, 2021 and December 31, 2020:

	Amount at		Fair Value Measurement Using						Amount at
	Cost		Level 1		Level 2		Level 3		Fair Value
March 31, 2021
Assets
Investment Securities- Fair Value	$	14,134,540	$	17,923,989	$	-	$	-	$	17,923,989
Investment Securities- Trading		2,457,162		2,468,809		-		-		2,468,809
Convertible Preferred Stock		42,889,000		-		-		29,430,000		29,430,000
Convertible Note Receivable		138,599		-		-		153,590		153,590
Warrants - American Premium Water		860,342		-		-		2,188,264		2,188,264
Warrants - AMRE		-		-		-		-		-
Total Investment in securities at Fair Value	$	60,479,643	$	20,392,798	$	-	$	31,771,854	$	52,164,652

	Amount at		Fair Value Measurement Using						Amount at
	Cost		Level 1		Level 2		Level 3		Fair Value
December 31, 2020
Assets
Investment securities- Fair Value Option	$	7,404,911	$	10,549,102	$	-	$	-	$	10,549,102
Investment securities- Trading		17,650		18,654		-		-		18,654
Convertible preferred stock		42,889,000		-		-		37,675,000		37,675,000
Convertible note receivable		50,000		-		-		66,978		66,978
Warrants - American Premium Water		860,342		-		-		862,723		862,723
Warrants - AMRE		-		-		-		-		-
Stock Options - Vivacitas		-		-		-		-		-
Total Investment in securities at Fair Value	$	51,221,903	$	10,567,756	$	-	$	38,604,701	$	49,172,457

Schedule of Fair Value of Equity Security Investment

The following chart shows details of the fair value of equity security investment at March 31, 2021 and December 31, 2020, respectively.

	Share price					Market Value
	3/31/2021		Shares			3/31/2021		Valuation
DSS (Related Party)	$	3.610		1162501	*	$	4,196,629	Investment in Securities at Fair Value
AMBS (Related Party)	$	0.011		20,000,000		$	228,000	Investment in Securities at Fair Value
Holista (Related Party)	$	0.049		46,226,673		$	2,285,838	Investment in Securities at Fair Value
American Premium Water (Related Party)	$	0.008		122,039,000		$	1,025,128	Investment in Securities at Fair Value
OptimumBank (Related Party)	$	3.870		92,980		$	359,833	Investment in Securities at Fair Value
True Partners	$	0.158		62,122,908		$	9,828,563	Investment in Securities at Fair Value
Trading Stocks						$	2,468,809	Investment in Securities at Fair Value
		Total Level 1 Equity Securities				$	20,392,798

Nervotech	N/A	1,666	$	37,826	Investment in Securities at Cost
Hyten Global	N/A	20,000	$	42,562	Investment in Securities at Cost
K Beauty	N/A	3,600	$	19,609	Investment in Securities at Cost
	Total Equity Securities		$	20,492,795

	Share price					Market Value
	12/31/2020		Shares			12/31/2020		Valuation
DSS (Related Party)	$	6.240		1,162,501	*	$	7,254,006	Investment in Securities at Fair Value
AMBS (Related Party)	$	0.008		20,000,000		$	160,000	Investment in Securities at Fair Value
Holista (Related Party)	$	0.055		46,226,673		$	2,565,469	Investment in Securities at Fair Value
American Premium Water (Related Party)	$	0.002		122,039,000		$	256,284	Investment in Securities at Fair Value
OptimumBank (Related Party)	$	3.370		92,980		$	313,343	Investment in Securities at Fair Value
Trading Stocks						$	18,654	Investment in Securities at Fair Value
		Total Level 1 Equity Securities				$	10,567,756

Vivacitas (Related Party)	N/A	2,480,000	$	200,128	Investment in Securities at Cost
Nervotech	N/A	1,666	$	37,826	Investment in Securities at Cost
Hyten Global	N/A	20,000	$	42,562	Investment in Securities at Cost
	Total Equity Securities		$	10,848,272

* Ratio of 1-for-30 (the “Reverse Split”) was effective at 5:01 p.m. Eastern Time on May 7, 2020 (the “Effective Time”)

DSS Convertible Preferred Stock [Member]

Schedule of Significant Inputs and Assumptions

The following table shows the parameters adopted in the valuation at the valuation dates.

	As of March 31,			As of December 31,
	2021			2020
Stock price	$	4.22		$	6.24
Risk-free rate		1.64	%		0.93	%
Volatility		109.67	%		113.69	%
Expected Exit Date		March 24, 2023			December 31, 2023
Dividend Yield		0.00			0.00

Sharing Services Convertible Note [Member]

Schedule of Significant Inputs and Assumptions

The fair value of the Sharing Services Convertible Note under level 3 category as of March 31, 2021 and December 31, 2020 was calculated using a Black-Scholes valuation model valued with the following weighted average assumptions:

	March 31, 2021			December 31, 2020
Dividend yield		0.00	%		0.00	%
Expected volatility		210.07	%		210.07	%
Risk free interest rate		3.25	%		0.13	%
Contractual term (in years)		1.51			1.76
Exercise price	$	0.15		$	0.15

Schedule of Change in Fair Value

The table below provides a summary of the changes in fair value, including net transfers in and/or out of all financial assets measured at fair value on a recurring basis using significant unobservable inputs (Level 3) during the three months ended March 31, 2021 and 2020:

	Total
Balance at January 1, 2021	$	66,978
Total losses		(1,987	)
Balance at March 31, 2021	$	64,991

	Total
Balance at January 1, 2020	$	26,209
Total losses		(12,599	)
Balance at March 31, 2020	$	13,610

APW Warrants [Member]

Schedule of Significant Inputs and Assumptions

The fair value of the APW warrants under level 3 category as of March 31, 2021 and July 17, 2020 was calculated using a Black-Scholes valuation model valued with the following weighted average assumptions:

	March 31, 2021			December 31, 2020
Stock Price	$	0.0084		$	0.0021
Exercise price		0.001			0.001
Risk free interest rate		1.74	%		0.88	%
Annualized volatility		232.10	%		178.86	%
Year to maturity		9.32			9.58

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Commitments and Contingencies (Tables)

3 Months Ended

Mar. 31, 2021

Commitments and Contingencies Disclosure [Abstract]

Schedule of Lease Payments

The table below summarizes future payments due under these leases as of March 31, 2021.

For the Years Ended December 31:

2021	$	341,827
2022		292,830
2023		95,104
2024		24,430
Total Minimum Lease Payments		754,191
Less: Effect of Discounting		(17,630	)
Present Value of Future Minimum Lease Payments		736,561
Less: Current Obligations under Leases		(51,686	)
Long-term Lease Obligations		684,875

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Directors and Employees' Benefits (Tables)

3 Months Ended

Mar. 31, 2021

Share-based Payment Arrangement [Abstract]

Schedule of Option Activity

The following tables summarize stock option activity under the 2013 Plan for the three months ended March 31, 2021:

	Options for				Remaining Contractual		Aggregate
	Common Shares		Exercise Price		Term (Years)		Intrinsic Value
Outstanding as of January 1, 2020		1,061,333	$	0.09		4.00	$	-
Vested and exercisable at January 1, 2020		1,061,333	$	0.09		4.00	$	-
Granted		-		-
Exercised		-		-
Forfeited, cancelled, expired		-		-
Outstanding as of December 31, 2020		1,061,333	$	0.09		3.00	$	-
Vested and exercisable at December 31, 2020		1,061,333	$	0.09		3.00	$	-
Granted		-		-
Exercised		-		-
Forfeited, cancelled, expired		-		-
Outstanding as of March 31, 2021		1,061,333	$	0.09		2.75	$	-
Vested and exercisable at March 31, 2021		1,061,333	$	0.09		2.75	$	-

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Nature of Operations and Summary of Significant Accounting Policies (Details Narrative)	3 Months Ended
	Mar. 31, 2021 shares
Chan Heng Fai [Member]
Stock issued during period, shares	1,000

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Summary of Significant Accounting Policies (Details Narrative)							1 Months Ended	3 Months Ended		12 Months Ended
	Mar. 18, 2021 USD ($) shares	Mar. 12, 2021 USD ($) $ / shares shares	Feb. 26, 2021 USD ($) $ / shares	Feb. 26, 2021 USD ($) $ / shares	Sep. 30, 2020 USD ($) shares	Sep. 08, 2020 USD ($) shares	Mar. 31, 2021 USD ($) $ / shares	Mar. 31, 2021 USD ($) $ / shares shares	Mar. 31, 2020 USD ($) shares	Dec. 31, 2020 USD ($) $ / shares shares	Mar. 31, 2021 AUD ($)	Jul. 17, 2020 USD ($)	Mar. 02, 2020 USD ($)
Common stock voting percentage								More than 50% of the voting common stock
Repurchase of common stock								$ 4,600,000
Common stock, par value | $ / shares							$ 0.001	$ 0.001		$ 0.001
Share issued price per share | $ / shares		$ 10.03
Intrinsic value of beneficial conversion feature		$ 50,770,192						$ 50,770,192
Debt discount							$ 13,695,853	13,695,853
Accrued interest							41,239	41,239
Amortized debt discount on finance cost								545,916
Cash equivalents
Cash							20,368,692	20,368,692		24,465,923
Account receivables							1,062,278	1,062,278		1,366,194
Allowance for doubtful accounts							$ 0	$ 0		$ 0
Investment percentage of beneficial owner							57.10%	57.10%		57.10%	57.10%
Sale of stock								$ 1,900,000
Accumulated losses							$ (51,029,349)	(51,029,349)		$ (44,793,713)
Capitalized construction costs								1,000,000	2,400,000
Payments for rent								140,271	85,558
Deferred revenue							3,430,893	3,430,893		2,867,226
Gain loss on foreign exchange								1,462,697	2,260,482
Other comprehensive loss from foreign currency translation								$ (1,769,440)	$ (1,674,021)
Potentially dilutive securities outstanding | shares
Non-controlling interests							33,673,855	$ 33,673,855		37,980,325
Capitalized financing costs							3,348,112	3,348,112		3,513,535
Operating lease right-of-use assets							722,507	722,507		574,754
Operating lease liabilities							736,561	736,561		574,754
Sharing Services Convertible Note [Member]
Convertible promissory note							50,000	50,000
Fair value of debt							$ 64,991	$ 64,991		$ 66,978
Preferred Stock [Member]
Stock issued during period, shares | shares								42,575		42,575
Conversion of shares converted | shares								6,570,216
Amarantus BioScience Holdings [Member]
Investment percentage of beneficial owner							5.40%	5.40%			5.40%
True Partner Capital Holding Limited [Member]
Investment percentage of beneficial owner							5.40%	5.40%			5.40%
Document Securities Systems Inc. [Member]
Investment percentage of beneficial owner							19.90%	19.90%			19.90%
Stock issued during period, shares | shares	2,480,000
Option to purchase shares | shares	250,000
Realized loss on securities investment	$ 285,245
Sale of investment price	2,480,000
Selling price and original investment cost	$ 2,279,872
Holista CollTech Limited [Member]
Investment percentage of beneficial owner							16.80%	16.80%			16.80%
OptimumBank Holdings, Inc. [Member]
Investment percentage of beneficial owner							3.90%	3.90%			3.90%
American Premium Water Corp [Member]
Warrant value							$ 2,188,264	$ 2,188,264		$ 862,723		$ 860,342
Investment percentage of beneficial owner							8.70%	8.70%			8.70%	9.99%
Vector Com co. Ltd [Member]
Convertible promissory note			$ 88,599	$ 88,599
Fair value of debt			$ 88,599	$ 88,599			$ 88,599	$ 88,599
Debt interest rate			2.00%	2.00%
Debt term			2 years	2 years
Debt conversion price | $ / shares			$ 21.26	$ 21.26
American Medical REIT Inc. [Member]
Warrant value							0	0		0
Accrued interest							$ 17,431	$ 17,431		13,431
Investment percentage of beneficial owner							36.10%	36.10%			36.10%
Fair value of debt													$ 200,000
Debt interest rate													8.00%
Fair value of warrants and stock option								$ 0		0
Gain (loss) on investments								24,847	$ 0
Accumulated losses							$ 291,180	$ 291,180		265,929
Vivacitas [Member]
Common stock, par value | $ / shares							$ 1	$ 1
Fair value of warrants and stock option										0
Option to purchase shares | shares								250,000
Nervotec Pte Ltd [Member]
Investment percentage of beneficial owner						1.45%
Selling price and original investment cost						$ 37,826
Number of investment acquired | shares						1,666
Hyten Global (Thailand) Co., Ltd [Member]
Investment percentage of beneficial owner					19.00%		19.00%	19.00%			19.00%
Selling price and original investment cost					$ 42,562
Number of investment acquired | shares					20,000
K Beauty Research Lab Co., Ltd [Member]
Investment percentage of beneficial owner							18.00%	18.00%			18.00%
Selling price and original investment cost							$ 19,609	$ 19,609
Brokerage [Member]
Cash							499,251	$ 499,251		1,001,916
Australian [Member]
Non-interest bearing											$ 50,000
First Batch [Member]
Payments for rent							2,161,680
Ballenger Projects [Member]
Concentration risk percentage								69.00%
Black Oak Projects [Member]
Concentration risk percentage									100.00%
Minimum [Member]
Payments for rent								$ 2,265
Maximum [Member]
Payments for rent								23,297
Manufacturers and Traders Trust Company [Member]
Cash escrow							8,099,097	8,099,097		5,729,067
Manufacturers and Traders Trust Company [Member] | Minimum [Member]
Minimum amount of loans							2,600,000	2,600,000
LiquidValue Development Pte Ltd. [Member]
Investment percentage of beneficial owner													36.10%
Securities Purchase Agreement [Member]
Payable of transaction		$ 63,920,129
Common stock, par value | $ / shares		$ 0.001
Share issued price per share | $ / shares		$ 5.59
Securities Purchase Agreement [Member] | Alset International [Member]
Warrant to purchase common stock | shares		1,500,000,000
Warrant value		$ 28,363,966
Securities Purchase Agreement [Member] | LiquidValue Development Pte Ltd. [Member]
Repurchase of common stock		173,395
Securities Purchase Agreement [Member] | True Partner Capital Holding Limited [Member]
Repurchase of common stock		$ 6,729,629
Repurchase of common stock shares | shares		62,122,908
Securities Purchase Agreement [Member] | American Pacific Bancorp. Inc [Member]
Repurchase of common stock		$ 28,653,138
Repurchase of common stock shares | shares		4,775,523
Investment percentage of beneficial owner		86.44%
Loan Agreement [Member] | National Australian Bank Limited [Member]
Cash escrow							38,043	38,043		38,550
Merchant Agreement [Member]
Account receivables							$ 900,000	900,000		$ 1,300,000
Front Foot Benefit Assessments [Member]
Recognized revenue								107,071	$ 40,322
Front Foot Benefit Assessments [Member] | Minimum [Member]
Proceeds from sale of asset								3,000
Front Foot Benefit Assessments [Member] | Maximum [Member]
Proceeds from sale of asset								$ 4,500

XML

Summary of Significant Accounting Policies - Schedule of Subsidiaries (Details)		3 Months Ended
		Mar. 31, 2021	Dec. 31, 2020
Attributable interest		57.10%	57.10%
LiquidValue Development Pte. Ltd. [Member]
Name of subsidiary consolidated under AEI		LiquidValue Development Pte. Ltd.
State or other jurisdiction of incorporation or organization		Singapore
Attributable interest		100.00%
Hengfai International Pte. Ltd [Member]
Name of subsidiary consolidated under AEI		Hengfai International Pte. Ltd
State or other jurisdiction of incorporation or organization		Singapore
Attributable interest		100.00%	100.00%
Hengfai Business Development Pte. Ltd. [Member]
Name of subsidiary consolidated under AEI		Hengfai Business Development Pte. Ltd
State or other jurisdiction of incorporation or organization		Singapore
Attributable interest		100.00%	100.00%
Heng Fai Enterprises Pte. Ltd. [Member]
Name of subsidiary consolidated under AEI		Heng Fai Enterprises Pte. Ltd.
State or other jurisdiction of incorporation or organization		Singapore
Attributable interest			100.00%
Global eHealth Limited [Member]
Name of subsidiary consolidated under AEI		Global eHealth Limited
State or other jurisdiction of incorporation or organization		Hong Kong
Attributable interest		100.00%	100.00%
Alset International Inc. [Member]
Name of subsidiary consolidated under AEI		Alset International Inc. (f.k.a. Singapore eDevelopment Limited)
State or other jurisdiction of incorporation or organization		Singapore
Attributable interest		57.10%	57.10%
Singapore Construction & Development Pte. Ltd. [Member]
Name of subsidiary consolidated under AEI		Singapore Construction & Development Pte. Ltd.
State or other jurisdiction of incorporation or organization		Singapore
Attributable interest		57.10%	57.10%
Art eStudio Pte. Ltd. [Member]
Name of subsidiary consolidated under AEI		Art eStudio Pte. Ltd.
State or other jurisdiction of incorporation or organization		Singapore
Attributable interest	[1]	29.10%	29.10%
Singapore Construction Pte. Ltd. [Member]
Name of subsidiary consolidated under AEI		Singapore Construction Pte. Ltd.
State or other jurisdiction of incorporation or organization		Singapore
Attributable interest		57.10%	57.10%
Global BioMedical Pte Ltd [Member]
Name of subsidiary consolidated under AEI		Global BioMedical Pte. Ltd.
State or other jurisdiction of incorporation or organization		Singapore
Attributable interest		57.10%	57.10%
Alset Innovation Pte. Ltd. [Member]
Name of subsidiary consolidated under AEI		Alset Innovation Pte. Ltd. (f.k.a. SeD Investment Pte. Ltd.)
State or other jurisdiction of incorporation or organization		Singapore
Attributable interest		57.10%	57.10%
Health Wealth Happiness Pte. Ltd. [Member]
Name of subsidiary consolidated under AEI		Health Wealth Happiness Pte. Ltd.
State or other jurisdiction of incorporation or organization		Singapore
Attributable interest		57.10%	57.10%
SeD Capital Pte. Ltd. [Member]
Name of subsidiary consolidated under AEI		SeD Capital Pte. Ltd.
State or other jurisdiction of incorporation or organization		Singapore
Attributable interest		57.10%	57.10%
LiquidValue Asset Management Pte. Ltd. [Member]
Name of subsidiary consolidated under AEI		LiquidValue Asset Management Pte. Ltd. (f.k.a. HengFai Asset Management Pte. Ltd.)
State or other jurisdiction of incorporation or organization		Singapore
Attributable interest		64.80%	46.90%	[1]
SeD Home Limited [Member]
Name of subsidiary consolidated under AEI		SeD Home Limited
State or other jurisdiction of incorporation or organization		Hong Kong
Attributable interest		57.10%	57.10%
SeD Management Pte. Ltd. [Member]
Name of subsidiary consolidated under AEI		SeD Management Pte. Ltd. (f.k.a. SeD Reits Management Pte. Ltd.)
State or other jurisdiction of incorporation or organization		Singapore
Attributable interest		57.10%	57.10%
Global TechFund of Fund Pte. Ltd. [Member]
Name of subsidiary consolidated under AEI		Global TechFund of Fund Pte. Ltd.
State or other jurisdiction of incorporation or organization		Singapore
Attributable interest		57.10%	57.10%
Singapore eChainLogistic Pte. Ltd. [Member]
Name of subsidiary consolidated under AEI		Singapore eChainLogistic Pte. Ltd.
State or other jurisdiction of incorporation or organization		Singapore
Attributable interest		57.10%	57.10%
BMI Capital Partners International Limited. [Member]
Name of subsidiary consolidated under AEI		BMI Capital Partners International Limited.
State or other jurisdiction of incorporation or organization		Hong Kong
Attributable interest		57.10%	57.10%
SeD Perth Pty. Ltd. [Member]
Name of subsidiary consolidated under AEI		SeD Perth Pty. Ltd.
State or other jurisdiction of incorporation or organization		Australia
Attributable interest		57.10%	57.10%
SeD Intelligent Home Inc. [Member]
Name of subsidiary consolidated under AEI		SeD Intelligent Home Inc. (f.k.a SeD Home International, Inc.)
State or other jurisdiction of incorporation or organization		United States of America
Attributable interest		57.10%	57.10%
LiquidValue Development Inc. [Member]
Name of subsidiary consolidated under AEI		LiquidValue Development Inc. (f.k.a. SeD Intelligent Home Inc.)
State or other jurisdiction of incorporation or organization		United States of America
Attributable interest		57.10%	57.10%
Alset EHome Inc. [Member]
Name of subsidiary consolidated under AEI		Alset EHome Inc. (f.k.a. Alset iHome Inc., SeD Home & REITs Inc. and SeD Home, Inc.)
State or other jurisdiction of incorporation or organization		United States of America
Attributable interest		57.10%	57.10%
SeD USA, LLC [Member]
Name of subsidiary consolidated under AEI		SeD USA, LLC
State or other jurisdiction of incorporation or organization		United States of America
Attributable interest		57.10%	57.10%
150 Black Oak GP, Inc. [Member]
Name of subsidiary consolidated under AEI		150 Black Oak GP, Inc.
State or other jurisdiction of incorporation or organization		United States of America
Attributable interest		57.10%	57.10%
SeD Development USA Inc. [Member]
Name of subsidiary consolidated under AEI		SeD Development USA Inc.
State or other jurisdiction of incorporation or organization		United States of America
Attributable interest		57.10%	57.10%
150 CCM Black Oak, Ltd. [Member]
Name of subsidiary consolidated under AEI		150 CCM Black Oak, Ltd.
State or other jurisdiction of incorporation or organization		United States of America
Attributable interest		57.10%	57.10%
SeD Texas Home, LLC [Member]
Name of subsidiary consolidated under AEI		SeD Texas Home, LLC
State or other jurisdiction of incorporation or organization		United States of America
Attributable interest		57.10%	57.10%
SeD Ballenger, LLC [Member]
Name of subsidiary consolidated under AEI		SeD Ballenger, LLC
State or other jurisdiction of incorporation or organization		United States of America
Attributable interest		57.10%	57.10%
SeD Maryland Development, LLC [Member]
Name of subsidiary consolidated under AEI		SeD Maryland Development, LLC
State or other jurisdiction of incorporation or organization		United States of America
Attributable interest	[1]	47.70%	47.80%
SeD Development Management, LLC [Member]
Name of subsidiary consolidated under AEI		SeD Development Management, LLC
State or other jurisdiction of incorporation or organization		United States of America
Attributable interest	[1]	48.50%	48.60%
SeD Builder, LLC [Member]
Name of subsidiary consolidated under AEI		SeD Builder, LLC
State or other jurisdiction of incorporation or organization		United States of America
Attributable interest		57.10%	57.10%
GigWorld Inc. [Member]
Name of subsidiary consolidated under AEI		GigWorld Inc. (f.k.a. HotApp Blockchain Inc.)
State or other jurisdiction of incorporation or organization		United States of America
Attributable interest		56.90%	57.00%
HotApp BlockChain Pte. Ltd. [Member]
Name of subsidiary consolidated under AEI		HotApp BlockChain Pte. Ltd. (f.k.a. HotApps International Pte. Ltd.)
State or other jurisdiction of incorporation or organization		Singapore
Attributable interest		56.90%	57.00%
HotApp International Limited [Member]
Name of subsidiary consolidated under AEI		HotApp International Limited
State or other jurisdiction of incorporation or organization		Hong Kong
Attributable interest		56.90%	57.00%
HWH International, Inc. [Member]
Name of subsidiary consolidated under AEI		HWH International, Inc.
State or other jurisdiction of incorporation or organization		United States of America
Attributable interest		57.10%	57.10%
Health Wealth & Happiness Inc. [Member]
Name of subsidiary consolidated under AEI		Health Wealth & Happiness Inc.
State or other jurisdiction of incorporation or organization		United States of America
Attributable interest		57.10%	57.10%
HWH Multi-Strategy Investment, Inc. [Member]
Name of subsidiary consolidated under AEI		HWH Multi-Strategy Investment, Inc.
State or other jurisdiction of incorporation or organization		United States of America
Attributable interest		57.10%	57.10%
SeDHome Rental Inc [Member]
Name of subsidiary consolidated under AEI		SeDHome Rental Inc
State or other jurisdiction of incorporation or organization		United States of America
Attributable interest		57.10%	57.10%
SeD REIT Inc. [Member]
Name of subsidiary consolidated under AEI		SeD REIT Inc.
State or other jurisdiction of incorporation or organization		United States of America
Attributable interest		57.10%	57.10%
Gig Stablecoin Inc. [Member]
Name of subsidiary consolidated under AEI		Gig Stablecoin Inc. (f.k.a. Crypto Exchange Inc.)
State or other jurisdiction of incorporation or organization		United States of America
Attributable interest		56.90%	57.00%
HWH World Inc. [Member]
Name of subsidiary consolidated under AEI		HWH World Inc.
State or other jurisdiction of incorporation or organization		United States of America
Attributable interest		56.90%	57.00%
HWH World Pte. Ltd. [Member]
Name of subsidiary consolidated under AEI		HWH World Pte. Ltd.
State or other jurisdiction of incorporation or organization		Singapore
Attributable interest		56.90%	57.00%
UBeauty Limited [Member]
Name of subsidiary consolidated under AEI		UBeauty Limited
State or other jurisdiction of incorporation or organization		Hong Kong
Attributable interest		57.10%	57.10%
WeBeauty Korea Inc [Member]
Name of subsidiary consolidated under AEI		WeBeauty Korea Inc
State or other jurisdiction of incorporation or organization		Korea
Attributable interest		57.10%	57.10%
HWH World Limited [Member]
Name of subsidiary consolidated under AEI		HWH World Limited
State or other jurisdiction of incorporation or organization		Hong Kong
Attributable interest		57.10%	57.10%
HWH World Inc. [Member]
Name of subsidiary consolidated under AEI		HWH World Inc.
State or other jurisdiction of incorporation or organization		Korea
Attributable interest		57.10%	57.10%
Alset BioHealth Pte. Ltd. [Member]
Name of subsidiary consolidated under AEI		Alset BioHealth Pte. Ltd.
State or other jurisdiction of incorporation or organization		Singapore
Attributable interest		57.10%	57.10%
Alset Energy Pte. Ltd. [Member]
Name of subsidiary consolidated under AEI		Alset Energy Pte. Ltd.
State or other jurisdiction of incorporation or organization		Singapore
Attributable interest		57.10%	57.10%
Alset Payment Inc. [Member]
Name of subsidiary consolidated under AEI		Alset Payment Inc.
State or other jurisdiction of incorporation or organization		United States of America
Attributable interest		57.10%	57.10%
Alset World Pte. Ltd. [Member]
Name of subsidiary consolidated under AEI		Alset World Pte. Ltd.
State or other jurisdiction of incorporation or organization		Singapore
Attributable interest		57.10%	57.10%
BioHealth Water Inc. [Member]
Name of subsidiary consolidated under AEI		BioHealth Water Inc.
State or other jurisdiction of incorporation or organization		United States of America
Attributable interest		57.10%	57.10%
Impact BioHealth Pte. Ltd. [Member]
Name of subsidiary consolidated under AEI		Impact BioHealth Pte. Ltd.
State or other jurisdiction of incorporation or organization		Singapore
Attributable interest		57.10%	57.10%
American Home REIT Inc. [Member]
Name of subsidiary consolidated under AEI		American Home REIT Inc.
State or other jurisdiction of incorporation or organization		United States of America
Attributable interest		64.80%	46.90%	[1]
Alset Solar Inc. [Member]
Name of subsidiary consolidated under AEI		Alset Solar Inc.
State or other jurisdiction of incorporation or organization		United States of America
Attributable interest	[1]	45.70%	45.70%
HWH KOR Inc. [Member]
Name of subsidiary consolidated under AEI		HWH KOR Inc.
State or other jurisdiction of incorporation or organization		United States of America
Attributable interest		57.10%	57.10%
Open House Inc. [Member]
Name of subsidiary consolidated under AEI		Open House Inc.
State or other jurisdiction of incorporation or organization		United States of America
Attributable interest		57.10%	57.10%
Open Rental Inc. [Member]
Name of subsidiary consolidated under AEI		Open Rental Inc.
State or other jurisdiction of incorporation or organization		United States of America
Attributable interest		57.10%	57.10%
Hapi Cafe Inc. (Nevada) [Member]
Name of subsidiary consolidated under AEI		Hapi Cafe Inc. (Nevada)
State or other jurisdiction of incorporation or organization		United States of America
Attributable interest		57.10%	57.10%
Global Solar REIT Inc. [Member]
Name of subsidiary consolidated under AEI		Global Solar REIT Inc.
State or other jurisdiction of incorporation or organization		United States of America
Attributable interest		57.10%	57.10%
OpenBiz Inc. [Member]
Name of subsidiary consolidated under AEI		OpenBiz Inc.
State or other jurisdiction of incorporation or organization		United States of America
Attributable interest		57.10%	57.10%
Hapi Cafe Inc. (Texas) [Member]
Name of subsidiary consolidated under AEI		Hapi Cafe Inc. (Texas)
State or other jurisdiction of incorporation or organization		United States of America
Attributable interest		100.00%	100.00%
HWH (S) Pte. Ltd. [Member]
Name of subsidiary consolidated under AEI		HWH (S) Pte. Ltd.
State or other jurisdiction of incorporation or organization		Singapore
Attributable interest		57.10%
American Pacific Bancorp. Inc [Member]
Name of subsidiary consolidated under AEI		American Pacific Bancorp Inc.
State or other jurisdiction of incorporation or organization		United States of America
Attributable interest		86.44%
Hengfeng Finance Limited [Member]
Name of subsidiary consolidated under AEI		Hengfeng Finance Limited
State or other jurisdiction of incorporation or organization		Hong Kong
Attributable interest		86.44%
Decentralize Finance Inc. [Member]
Name of subsidiary consolidated under AEI		Decentralize Finance Inc.
State or other jurisdiction of incorporation or organization		United States of America
Attributable interest		86.44%
True Partner International Limited [Member]
Name of subsidiary consolidated under AEI		True Partner Intenational Limited
State or other jurisdiction of incorporation or organization		Hong Kong
Attributable interest		100.00%
LiquidValue Development Limited. [Member]
Name of subsidiary consolidated under AEI		LiquidValue Development Limited.
State or other jurisdiction of incorporation or organization		Hong Kong
Attributable interest		100.00%

[1] Although the Company indirectly holds percentage of shares of these entities less than 50%, the subsidiaries of the Company directly hold more than 50% of shares of these entities, and therefore, they are still consolidated into the Company.

XML

Concentrations (Details Narrative) - USD ($)	3 Months Ended	12 Months Ended
	Mar. 31, 2021	Dec. 31, 2020
Cash and restricted cash	$ 26,238,531	$ 25,752,637
Revenue Benchmark [Member] | Customer One [Member]
Concentration risk percentage	97.00%	99.00%
Revenue Benchmark [Member] | Customer Two [Member]
Concentration risk percentage	3.00%	1.00%

XML

Segments - Schedule of Segment Information (Details) - USD ($)	3 Months Ended
	Mar. 31, 2021	Mar. 31, 2020	Dec. 31, 2020
Revenues	$ 5,606,914	$ 2,965,171
Cost of sales	(3,697,854)	(2,383,703)
Gross margin	1,909,060	581,468
Operating expenses	6,010,359	3,387,562
Operating income (loss)	(403,445)	(422,391)
Other income (expense)	(8,949,966)	2,677,956
Net income (loss) before income tax	(9,353,411)	2,255,565
Cash and restricted cash	29,005,083		$ 31,235,456
Total assets	108,797,989		107,211,921
Property Development [Member]
Revenues	3,894,131	2,954,389
Cost of sales	(3,614,832)	(2,380,820)
Gross margin	279,299	573,569
Operating expenses	(359,489)	(277,056)
Operating income (loss)	(80,190)	296,513
Other income (expense)	(9,873)	7,539
Net income (loss) before income tax	(90,063)	304,052
Cash and restricted cash	9,842,218		8,150,769
Total assets	30,877,470		28,954,484
Digital Transformation Technology [Member]
Revenues
Cost of sales
Gross margin
Operating expenses	(30,128)	(18,228)
Operating income (loss)	(30,128)	(18,228)
Other income (expense)	(36,471)	(92,477)
Net income (loss) before income tax	(66,599)	(110,705)
Cash and restricted cash	154,738		158,058
Total assets	154,840		158,160
Biohealth Business [Member]
Revenues	1,712,783	10,782
Cost of sales	(83,022)	(2,883)
Gross margin	1,629,761	7,899
Operating expenses	(846,480)	(132,791)
Operating income (loss)	783,281	(124,892)
Other income (expense)	(8,371,117)	193
Net income (loss) before income tax	(7,587,836)	(124,699)
Cash and restricted cash	3,251,622		1,590,265
Total assets	43,241,793		524,603
Other [Member]
Revenues
Cost of sales
Gross margin
Operating expenses	(1,076,408)	(575,784)
Operating income (loss)	(1,076,408)	(575,784)
Other income (expense)	(532,505)	2,762,701
Net income (loss) before income tax	(1,608,913)	$ 2,186,917
Cash and restricted cash	15,756,505		21,336,364
Total assets	$ 34,523,886		$ 77,574,674

XML

Business Under Common Control - Schedule of Adjustment Information (Details) - USD ($)	3 Months Ended
	Mar. 31, 2021	Mar. 31, 2020	Dec. 31, 2020	Dec. 31, 2019
Total Revenue	$ 5,606,914	$ 2,965,171
Cost of Sales	3,697,854	2,383,703
General and Administrative	2,312,505	1,001,850
Research and Development		2,009
Total Operating Expenses	6,010,359	3,387,562
Loss From Operations	(403,445)	(422,391)
Interest Income		19,415
Interest Expense	(53,582)	(60,931)
Foreign Exchange Transaction Gain (Loss)	1,462,697	2,260,482
Unrealized Gain (Loss) on Securities Investment	(24,847)	458,422
Finance Costs	(582,868)	(4,903)
Other Income	11,256	5,471
Total Other (Expense) Income, Net	(8,949,966)	2,677,956
Net Income Before Income Taxes	(9,353,411)	2,255,565
Income Tax	451,337
Net Income (Loss)	(9,804,748)	2,255,565
Net Income (Loss) Attributable to Non-Controlling Interest	(3,569,112)	636,703
Net Income (Loss) Attributable to Common Stockholders	(6,235,636)	1,618,862
Unrealized Loss on Securities Investment	(1,987)	(12,599)
Foreign Currency Translation Adjustment	(1,769,440)	(1,674,021)
Comprehensive Income (Loss)	(11,576,175)	568,945
Comprehensive Income (Loss) Attributable to Non-controlling Interests	(4,328,924)	53,133
Comprehensive (Loss) Income Attributable to Common Stockholders	$ (7,247,251)	$ 515,812
Net Income Per Share - Basic and Diluted	$ (0.73)	$ 0.16
Weighted Average Common Shares Outstanding - Basic and Diluted	8,572,222	10,001,000
Cash	$ 20,368,692		$ 24,465,923
Restricted Cash	8,636,391		6,769,533
Account Receivables, Net	1,062,278		1,366,194
Other Receivables	687,120		644,576
Note Receivables - Related Party	669,561		649,569
Prepaid Expenses	2,894,258		1,470,680
Inventory	8,956		90,068
Investment in Securities at Fair Value	52,164,652		49,172,457
Investment in Securities at Cost	99,997		280,516
Investment in Securities on Equity Method
Deposits	25,528		47,019
Total Current Assets	86,617,433		84,956,535
Properties under Development			20,505,591
Operating Lease Right-Of-Use Asset	722,507		574,754
Deposit	271,167		249,676
Loan Receivable			840,000
Property and Equipment, Net	81,169		85,365
Total Assets	108,797,989		107,211,921
Accounts Payable and Accrued Expenses	2,388,448		1,670,320
Deferred Revenue	3,430,893		2,867,226
Builder Deposits	928,565		1,262,336
Operating Lease Liability	51,686		381,412
Note Payable	238,935		172,706
Note Payable- Related Parties	14,837,252		2,350,031
Total Current Liabilities	21,917,018		8,704,031
Builder Deposits
Operating Lease Liability	684,875		193,342
Notes Payable	651,034		636,362
Total Liabilities	23,252,927		9,533,735
Common Stock	8,580		8,570
Additional Paid In Capital	101,799,367		102,339,666
Accumulated Deficit	(51,029,349)		(44,793,713)
Accumulated Other Comprehensive Income	1,092,609	$ 355,239	2,143,338	$ 1,458,289
Total Alset Ehome International Stockholders' Equity	51,871,207		59,697,861
Non-controlling Interests	33,673,855		37,980,325
Total Stockholders' Equity	85,545,062	27,053,530	97,678,186	$ 24,444,495
Total Liabilities and Stockholders' Equity	108,797,989		107,211,921
American Pacific Bancorp. Inc [Member]
Total Revenue
Cost of Sales
General and Administrative		81,226
Research and Development
Total Operating Expenses		81,226
Loss From Operations		(81,226)
Interest Income		11,580
Interest Expense
Foreign Exchange Transaction Gain (Loss)
Unrealized Gain (Loss) on Securities Investment		(26,034)
Finance Costs		(4,890)
Other Income
Total Other (Expense) Income, Net		(19,344)
Net Income Before Income Taxes		(100,570)
Income Tax
Net Income (Loss)		(100,570)
Net Income (Loss) Attributable to Non-Controlling Interest		(6,436)
Net Income (Loss) Attributable to Common Stockholders		(94,134)
Unrealized Loss on Securities Investment
Foreign Currency Translation Adjustment
Comprehensive Income (Loss)		(100,570)
Comprehensive Income (Loss) Attributable to Non-controlling Interests		(6,436)
Comprehensive (Loss) Income Attributable to Common Stockholders		$ (94,134)
Net Income Per Share - Basic and Diluted
Weighted Average Common Shares Outstanding - Basic and Diluted
Cash			1,848,455
Restricted Cash
Account Receivables, Net
Other Receivables			279,177
Note Receivables - Related Party			24,583
Prepaid Expenses
Inventory
Investment in Securities at Fair Value			313,343
Investment in Securities at Cost
Investment in Securities on Equity Method
Deposits
Total Current Assets			2,465,558
Properties under Development
Operating Lease Right-Of-Use Asset
Deposit
Loan Receivable			840,000
Property and Equipment, Net
Total Assets			3,305,558
Accounts Payable and Accrued Expenses			117,188
Deferred Revenue
Builder Deposits
Operating Lease Liability
Note Payable
Note Payable- Related Parties
Total Current Liabilities			117,188
Builder Deposits
Operating Lease Liability
Notes Payable
Total Liabilities			117,188
Common Stock			47,756
Additional Paid In Capital			3,584,982
Accumulated Deficit			(876,712)
Accumulated Other Comprehensive Income
Total Alset Ehome International Stockholders' Equity			2,756,027
Non-controlling Interests			432,343
Total Stockholders' Equity			3,188,370
Total Liabilities and Stockholders' Equity			3,305,558
LiquidValue Development Pte. Ltd. [Member]
Total Revenue
Cost of Sales
General and Administrative		500
Research and Development
Total Operating Expenses		500
Loss From Operations		(500)
Interest Income		25
Interest Expense
Foreign Exchange Transaction Gain (Loss)		141,530
Unrealized Gain (Loss) on Securities Investment		94
Finance Costs		(13)
Other Income
Total Other (Expense) Income, Net		141,636
Net Income Before Income Taxes		141,136
Income Tax
Net Income (Loss)		141,136
Net Income (Loss) Attributable to Non-Controlling Interest
Net Income (Loss) Attributable to Common Stockholders		141,136
Unrealized Loss on Securities Investment
Foreign Currency Translation Adjustment
Comprehensive Income (Loss)		141,136
Comprehensive Income (Loss) Attributable to Non-controlling Interests
Comprehensive (Loss) Income Attributable to Common Stockholders		$ 141,136
Net Income Per Share - Basic and Diluted
Weighted Average Common Shares Outstanding - Basic and Diluted
Cash			492,977
Restricted Cash
Account Receivables, Net
Other Receivables			95,177
Note Receivables - Related Party
Prepaid Expenses
Inventory
Investment in Securities at Fair Value			1,631
Investment in Securities at Cost
Investment in Securities on Equity Method			74,535
Deposits
Total Current Assets			664,320
Properties under Development
Operating Lease Right-Of-Use Asset
Deposit
Loan Receivable
Property and Equipment, Net
Total Assets			664,320
Accounts Payable and Accrued Expenses
Deferred Revenue
Builder Deposits
Operating Lease Liability
Note Payable
Note Payable- Related Parties			823,823
Total Current Liabilities			823,823
Builder Deposits
Operating Lease Liability
Notes Payable
Total Liabilities			823,823
Common Stock
Additional Paid In Capital			756,487
Accumulated Deficit			(906,010)
Accumulated Other Comprehensive Income			(9,980)
Total Alset Ehome International Stockholders' Equity			(159,503)
Non-controlling Interests
Total Stockholders' Equity			(159,503)
Total Liabilities and Stockholders' Equity			664,320
Property Sales [Member]
Total Revenue	3,894,131	$ 2,954,389
Property Sales [Member] | American Pacific Bancorp. Inc [Member]
Total Revenue
Property Sales [Member] | LiquidValue Development Pte. Ltd. [Member]
Total Revenue
Biohealth Property Sales [Member] | American Pacific Bancorp. Inc [Member]
Total Revenue
Biohealth Property Sales [Member] | LiquidValue Development Pte. Ltd. [Member]
Total Revenue
Biohealth Product Sales [Member]
Total Revenue	$ 1,712,783	10,782
Previously Reported [Member]
Total Revenue		2,965,171
Cost of Sales		2,383,703
General and Administrative		920,124
Research and Development		2,009
Total Operating Expenses		3,305,836
Loss From Operations		(340,665)
Interest Income		7,810
Interest Expense		(60,931)
Foreign Exchange Transaction Gain (Loss)		2,118,952
Unrealized Gain (Loss) on Securities Investment		484,362
Finance Costs
Other Income		5,471
Total Other (Expense) Income, Net		2,555,664
Net Income Before Income Taxes		2,214,999
Income Tax
Net Income (Loss)		2,214,999
Net Income (Loss) Attributable to Non-Controlling Interest		643,139
Net Income (Loss) Attributable to Common Stockholders		1,571,860
Unrealized Loss on Securities Investment		(12,599)
Foreign Currency Translation Adjustment		(1,674,021)
Comprehensive Income (Loss)		528,379
Comprehensive Income (Loss) Attributable to Non-controlling Interests		59,569
Comprehensive (Loss) Income Attributable to Common Stockholders		$ 468,810
Net Income Per Share - Basic and Diluted		$ 0.16
Weighted Average Common Shares Outstanding - Basic and Diluted		10,001,000
Cash			22,124,491
Restricted Cash			6,769,533
Account Receivables, Net			1,366,194
Other Receivables			270,222
Note Receivables - Related Party			624,986
Prepaid Expenses			1,470,680
Inventory			90,068
Investment in Securities at Fair Value			48,857,483
Investment in Securities at Cost			280,516
Investment in Securities on Equity Method
Deposits			47,019
Total Current Assets			81,901,192
Properties under Development			20,505,591
Operating Lease Right-Of-Use Asset			574,754
Deposit			249,676
Loan Receivable
Property and Equipment, Net			85,365
Total Assets			103,316,578
Accounts Payable and Accrued Expenses			1,553,132
Deferred Revenue			2,867,226
Builder Deposits			1,262,336
Operating Lease Liability			381,412
Note Payable			172,706
Note Payable- Related Parties			1,526,208
Total Current Liabilities			7,763,020
Builder Deposits
Operating Lease Liability			193,342
Notes Payable			636,362
Total Liabilities			8,592,724
Common Stock			8,570
Additional Paid In Capital			97,950,440
Accumulated Deficit			(43,010,991)
Accumulated Other Comprehensive Income			2,153,318
Total Alset Ehome International Stockholders' Equity			57,101,337
Non-controlling Interests			37,622,517
Total Stockholders' Equity			94,723,854
Total Liabilities and Stockholders' Equity			103,316,578
Previously Reported [Member] | Property Sales [Member]
Total Revenue		$ 2,954,389
Previously Reported [Member] | Biohealth Property Sales [Member]
Total Revenue		$ 10,782
Eliminations [Member]
Cash
Restricted Cash
Account Receivables, Net
Other Receivables
Note Receivables - Related Party
Prepaid Expenses
Inventory
Investment in Securities at Fair Value
Investment in Securities at Cost
Investment in Securities on Equity Method			(74,535)
Deposits
Total Current Assets			(74,535)
Properties under Development
Operating Lease Right-Of-Use Asset
Deposit
Loan Receivable
Property and Equipment, Net
Total Assets			(74,535)
Accounts Payable and Accrued Expenses
Deferred Revenue
Builder Deposits
Operating Lease Liability
Note Payable
Note Payable- Related Parties
Total Current Liabilities
Builder Deposits
Operating Lease Liability
Notes Payable
Total Liabilities
Common Stock			(47,756)
Additional Paid In Capital			47,756
Accumulated Deficit
Accumulated Other Comprehensive Income
Total Alset Ehome International Stockholders' Equity
Non-controlling Interests			(74,535)
Total Stockholders' Equity			(74,535)
Total Liabilities and Stockholders' Equity			$ (74,535)

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Real Estate Assets - Schedule of Real Estate Assets (Details) - USD ($)	Mar. 31, 2021	Dec. 31, 2020
Real Estate [Abstract]
Construction in Progress	$ 7,465,347	$ 9,567,841
Land Held for Development	10,638,686	10,937,750
Rental Properties	2,161,680
Total Real Estate Assets	$ 20,265,713	$ 20,505,591

XML

Builder Deposits (Details Narrative) - USD ($)	Mar. 31, 2021	Dec. 31, 2020	Apr. 28, 2020	Jan. 03, 2019
Number of builder deposits, shares	479
Builder lands sold	$ 64,000,000
Builder deposits	$ 928,565	$ 1,262,336
SeD Maryland Development, LLC [Member] | Lot Purchase Agreements [Member]
Percentage of increase in price of lots	3.00%
Builder deposits	$ 5,600,000		$ 220,000	$ 100,000
Percentage of deposits purchase price under agreement	9.90%

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Notes Payable (Details Narrative) - USD ($)					3 Months Ended		12 Months Ended
	Feb. 11, 2021	Jun. 18, 2020	Apr. 17, 2019	Jan. 07, 2017	Mar. 31, 2021	Mar. 31, 2020	Dec. 31, 2020	Sep. 07, 2017
Notes payable amount					$ 889,969		$ 809,068
Origination fees and closing fees					381,823
Unamortized debt discount					13,695,853
Paycheck Protection Program Loan [Member]
Debt face amount	$ 68,502
Notes payable amount					68,502
Debt instrument, term	5 years
Debt interest rate	1.00%
Percentage of forgiven debt amount	60.00%
Australia Loan [Member]
Notes payable amount					170,433		172,706
SeD Maryland Development, LLC [Member] | Loan Agreement [Member]
Debt face amount			$ 8,000,000
Notes payable amount			18,500,000
Letter of credit aggregate amount			$ 900,000
Percentage of interest for line of credit			1.50%
Line of credit collateral amount			$ 2,600,000
SeD Maryland Development, LLC [Member] | Loan Agreement [Member] | London Interbank Offered Rate (LIBOR) Swap Rate [Member]
Line of credit, description			The line of credit bears interest rate on LIBOR plus 375 basis points.
Alset EHome Inc. [Member] | Loan Agreement [Member] | Manufacturers and Traders Trust Company [Member]
Letter of credit aggregate amount		$ 2,990,000
Origination fees and closing fees							61,679
Line of credit maturity date		Jul. 01, 2022
Line of credit covenant, description		The company was in compliance with this covenant as of December 31, 2020.
Line of credit borrowings							664,810
Interest on loan					6,627	$ 0
Amortization expense					8,045	$ 0
Unamortized debt discount					$ 34,862		$ 42,906
Alset EHome Inc. [Member] | Loan Agreement [Member] | Manufacturers and Traders Trust Company [Member] | Minimum [Member]
Letter of credit aggregate amount		$ 20,000,000
SeD Perth Pty. Ltd. [Member] | Australia Loan [Member]
Debt face amount				$ 460,000
Debt maturity date				Dec. 31, 2018			Apr. 30, 2022
Deposits				$ 35,276
Debt maximum borrowing capacity								$ 179,000
SeD Perth Pty. Ltd. [Member] | Minimum [Member] | Australia Loan [Member]
Debt interest rate					4.12%	4.85%
SeD Perth Pty. Ltd. [Member] | Maximum [Member] | Australia Loan [Member]
Debt interest rate					4.58%	5.57%

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Notes Payable - Schedule of Notes Payable (Details) - USD ($)	Mar. 31, 2021	Dec. 31, 2020
Total notes payable	$ 889,969	$ 809,068
M&T Bank Loan, Net of Debt Discount [Member]
Total notes payable	651,034	636,362
PPP Loan [Member]
Total notes payable	68,502
Australia Loan [Member]
Total notes payable	$ 170,433	$ 172,706

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Related Party Transactions (Details Narrative) - USD ($)								3 Months Ended		12 Months Ended
	Mar. 18, 2021	Mar. 12, 2021	Nov. 24, 2020	Aug. 20, 2020	Mar. 02, 2020	Jan. 01, 2018	Jan. 24, 2017	Mar. 31, 2021	Mar. 31, 2020	Dec. 31, 2020	Sep. 30, 2020	Jul. 17, 2020
Additional paid in capital								$ 101,799,367		$ 102,339,666
Notes payable								178,400		$ 178,400
Repurchase of common stock								$ 4,600,000
Issued price per share		$ 10.03
Common stock, par value								$ 0.001		$ 0.001
Intrinsic value of beneficial conversion feature		$ 50,770,192						$ 50,770,192
Debt discount								13,695,853
Accrued interest								$ 41,239
Ownership percentage								57.10%		57.10%
LiquidValue Development Pte Ltd. [Member]
Ownership percentage					36.10%
American Pacific Bancorp. Inc [Member] | Loan to Employees [Member]
Accrued interest								$ 5,109		$ 17,536
SeD Capital Pte Ltd [Member]
Ownership percentage							100.00%
Securities Purchase Agreement [Member]
Payable of transaction		$ 63,920,129
Issued price per share		$ 5.59
Common stock, par value		$ 0.001
Securities Purchase Agreement [Member] | Alset International [Member]
Warrant to purchase common stock		1,500,000,000
Warrant value		$ 28,363,966
Securities Purchase Agreement [Member] | LiquidValue Development Pte Ltd. [Member]
Repurchase of common stock		173,395
Securities Purchase Agreement [Member] | True Partner Capital Holding Limited [Member]
Repurchase of common stock		$ 6,729,629
Shares acquired during the period		62,122,908
Securities Purchase Agreement [Member] | American Pacific Bancorp. Inc [Member]
Repurchase of common stock		$ 28,653,138
Shares acquired during the period		4,775,523
Ownership percentage		86.44%
Document Securities Systems Inc [Member]
Stock issued during the period new issues, shares	2,480,000
Option to purchase shares	250,000
Sale of investment price	$ 2,480,000
Original cost of common stock and stock options	200,128
Additional paid in capital	$ 2,279,872
Ownership percentage								19.90%
LiquidValue Development Limited. [Member]
Notes payable								$ 815,381
Ownership percentage								100.00%
LiquidValue Development Pte Ltd. [Member]
Notes payable								$ 815,381		$ 823,823
SeD Perth Pty. Ltd [Member]
Notes payable								$ 14,190		$ 14,379
Ownership percentage								57.10%		57.10%
Chan Heng Fai [Member]
Notes payable				$ 1,333,429				$ 133,429		$ 1,333,429
Shares acquired during the period				30,000,000
MacKenzie Equity Partners [Member]
Notes payable								0		0
Monthly fee for consulting services						$ 20,000		60,000	60,000
Pop Motion Consulting Pte. Ltd [Member]
Notes payable								0		0
American Medical REIT Inc. [Member]
Warrant value								0		0
Accrued interest								$ 17,431		13,431
Debt instrument face amount					$ 200,000
Ownership percentage								36.10%
Debt instrument interest rate					8.00%
Debt instrument maturity terms					Payable in two years
IPO price description					The amount of the warrants equals to the note principle divided by the Exercise Price. If AMRE goes to IPO in the future and IPO price is less than $10.00 per share, the Exercise price shall be adjusted downward to fifty percent (50%) of the IPO price.
Fair value of warrants								$ 0		0
iGalen International [Member] | SeD Capital Pte Ltd [Member]
Accrued interest								62,058		61,555
Debt instrument face amount							$ 350,000	$ 350,000		350,000
Debt instrument interest rate							3.00%
Debt instrument maturity terms							The term of the loan was two years
Debt instrument description							With an interest rate of 3% per annum for the first of year and 5% per annum for the second year. The expiration term was renewed as due on demand after two years with 5% per annum interest rate.
Hyten Global (Thailand) Co., Ltd [Member]
Ownership percentage								19.00%			19.00%
Advances for operations								$ 10,104
American Premium Water Corp [Member]
Warrant value								$ 2,188,264		$ 862,723		$ 860,342
Ownership percentage								8.70%				9.99%
Advances for operations								$ 29,968
Directors [Member]
Personal guarantees								500,000
Chan Tung Moe [Member]
Monthly fee for consulting services								$ 0	$ 57,931
Chan Tung Moe [Member] | American Pacific Bancorp. Inc [Member]
Debt instrument interest rate			6.00%
Debt instrument description			This loan is secured by an irrevocable letter of instruction on 80,000 shares of Alset EHome International.
Due to officer			$ 560,000
Debt instrument maturity date			Nov. 23, 2023
Lim Sheng Hon Danny [Member] | American Pacific Bancorp. Inc [Member]
Debt instrument interest rate			6.00%
Debt instrument description			This loan is secured by an irrevocable letter of instruction on 40,000 shares of Alset EHome International.
Due to officer			$ 280,000
Debt instrument maturity date			Nov. 23, 2023

XML

Equity (Details Narrative) - USD ($)		1 Months Ended	3 Months Ended
	Jan. 19, 2021	Mar. 31, 2021	Mar. 31, 2021	Mar. 31, 2020	Dec. 31, 2020	Nov. 23, 2020	Dec. 31, 2019
Common stock, shares authorized		20,000,000	20,000,000		20,000,000
Preferred stock, shares authorized		5,000,000	5,000,000		5,000,000
Common stock, par value		$ 0.001	$ 0.001		$ 0.001
Preferred stock, par value		$ 0.001	$ 0.001		$ 0.001
Common stock, shares issued		8,580,000	8,580,000		8,570,000
Common stock, shares outstanding		8,580,000	8,580,000		8,570,000
Issuance of stock for services, shares	10,000
Issuance of stock for services	$ 60,900		$ 60,900
Ownership percentage		57.10%	57.10%		57.10%
Distribution to minority shareholder			$ 82,250	$ 197,400
Private Offer [Member]
Proceeds from issuance or sale of equity		$ 2,232,491
Private Offer [Member] | Class A Common Stock [Member]
Common stock, par value		$ 0.01	$ 0.01
Private Offer [Member] | Series A 5% Cumulative Preferred Stock [Member]
Preferred stock, par value		0.01	0.01
Share price		$ 6	$ 6
Aegis Capital Corp. [Member] | Underwriting Agreement [Member] | Representative's Warrant [Member]
Warrants issued						108,000
Exercise price of warrants						$ 9.80
GigWorld [Member]
Common stock, shares outstanding		505,551,376	505,551,376	506,223,676			506,898,576
Stock issued during period, shares			250,000	10,000
Proceeds from issuance or sale of equity			$ 250,000	$ 5,000
Ownership percentage		99.00%	99.00%	99.00%
GigWorld [Member] | International Investors [Member]
Common stock, shares outstanding		506,898,576	506,898,576	506,898,576
Alset International [Member]
Exercise price of warrants		$ 0.03	$ 0.03
Ownership percentage		57.10%	57.10%		57.10%
Common stock issued through warrant exercise		250,000	250,000
Proceeds from issuance of warrants			$ 7,484
Share based compensation expense			$ 73,292
Shares issued to officer			1,500,000

XML

Equity - Schedule of Warrant Activity (Details)	3 Months Ended
	Mar. 31, 2021 USD ($) $ / shares shares
Equity [Abstract]
Number of common shares warrants outstanding, beginning balance | shares	108,000
Number of common shares warrants vested and exercisable, beginning | shares	108,000
Number of common shares warrants granted | shares
Number of common shares warrants exercised | shares
Number of common shares warrants forfeited, cancelled, expired | shares
Number of common shares warrants outstanding ending balance | shares	108,000
Number of common shares warrants vested and exercisable ending | shares	108,000
Exercise price, beginning balance | $ / shares	$ 9.80
Exercise price, vested and exercisable beginning balance | $ / shares	9.80
Exercise price, granted | $ / shares
Exercise price, exercised | $ / shares
Exercise price, forfeited, cancelled, expired | $ / shares
Exercise price, ending balance | $ / shares	9.80
Exercise price, vested and exercisable ending balance | $ / shares	$ 9.80
Remaining life in term (years), beginning	2 years 11 months 12 days
Remaining life in term (years), vested and exercisable beginning	2 years 11 months 12 days
Remaining life in term (years), ending	2 years 8 months 12 days
Remaining life in term (years), vested and exercisable ending	2 years 8 months 12 days
Aggregate intrinsic value, beginning | $
Aggregate intrinsic value, vested and exercisable beginning | $
Aggregate intrinsic value, ending | $	191,160
Aggregate intrinsic value, vested and exercisable ending | $	$ 191,160

XML

Accumulated Other Comprehensive Income - Schedule of Changes in the Balances of Accumulated Other Comprehensive Income, Net of Tax (Details) - USD ($)	3 Months Ended
	Mar. 31, 2021	Mar. 31, 2020
Beginning Balance	$ 2,143,338	$ 1,458,289
Other Comprehensive Income	(1,050,729)	(1,103,050)
Ending Balance	1,092,609	355,239
Unrealized Gains and Losses on Security Investment [Member]
Beginning Balance	(48,758)	(59,888)
Other Comprehensive Income	(1,135)	(8,240)
Ending Balance	(49,893)	(68,128)
Foreign Currency Translations [Member]
Beginning Balance	2,258,017	1,603,145
Other Comprehensive Income	(1,010,527)	(1,094,810)
Ending Balance	1,247,490	508,335
Change in Minority Interest [Member]
Beginning Balance	(65,921)	(84,968)
Other Comprehensive Income	(39,067)
Ending Balance	$ (104,988)	$ (84,968)

XML

Investments Measured At Fair Value (Details Narrative) - USD ($)				3 Months Ended
	Feb. 26, 2021	Feb. 26, 2021	Jul. 17, 2020	Mar. 31, 2021	Mar. 31, 2020	Dec. 31, 2020	Mar. 02, 2020
Unrealized loss on investment securities				$ 1,987	$ 12,599
Reverse split ratio				Ratio of 1-for-30 (the "Reverse Split")
Fair market value				$ 52,164,652		$ 49,172,457
Notes receivable				$ 669,561		$ 649,569
Ownership percentage				57.10%		57.10%
Level 3 [Member]
Fair market value				$ 31,771,854		$ 38,604,701
Convertible Preferred Stock [Member]
Fair market value				29,430,000		37,675,000
Convertible Preferred Stock [Member] | Level 3 [Member]
Fair market value				29,430,000		37,675,000
Convertible Note Receivable [Member]
Fair market value				153,590		66,978
Convertible Note Receivable [Member] | Level 3 [Member]
Fair market value				$ 153,590		$ 66,978
Document Securities Systems Inc [Member]
Ownership percentage				19.90%
Document Securities Systems Inc [Member] | Maximum [Member]
Miniorty interest percentage				19.99%
Document Securities Systems Inc [Member] | Convertible Preferred Stock [Member]
Shares held for preferred stock				42,575		42,575
Shares issuable upon conversion				6,570,216		6,570,216
Fair market value				$ 29,430,000		$ 37,675,000
Sharing Services Inc [Member] | Convertible Note Receivable [Member] | Dividend Yield [Member] | Level 3 [Member]
Convertible note, measurement input				0.00		0.00
Vector Com co. Ltd [Member]
Convertible debt	$ 88,599	$ 88,599
Debt interest rate	2.00%	2.00%
Debt term	2 years	2 years
Debt conversion price	$ 21.26	$ 21.26
Fair value of debt	$ 88,599	$ 88,599		$ 88,599
American Medical REIT Inc. [Member]
Debt interest rate							8.00%
Fair value of debt							$ 200,000
Notes receivable							$ 200,000
Fair value of warrants				0		$ 0
Fair value of stock option				$ 0		0
Ownership percentage				36.10%
American Premium Water Corp [Member]
Fair value of warrants			$ 860,342	$ 2,188,264		$ 862,723
Number of shares acquired			122,039,000
Ownership percentage			9.99%	8.70%
Number of warrants purchased			122,039,000
Exercise price of warrant			$ 0.0001
Payment for purchase of securities			$ 122,039

XML

Investments Measured At Fair Value - Schedule of Financial Assets Measured at Fair Value on a Recurring Basis (Details) - USD ($)	Mar. 31, 2021	Dec. 31, 2020
Asset, Cost	$ 60,479,643	$ 51,221,903
Assets, Fair Value	52,164,652	49,172,457
Vivacitas [Member] | Options [Member]
Asset, Cost
Assets, Fair Value
Level 1 [Member]
Assets, Fair Value	20,392,798	10,567,756
Level 1 [Member] | Vivacitas [Member] | Options [Member]
Assets, Fair Value
Level 2 [Member]
Assets, Fair Value
Level 2 [Member] | Vivacitas [Member] | Options [Member]
Assets, Fair Value
Level 3 [Member]
Assets, Fair Value	31,771,854	38,604,701
Level 3 [Member] | Vivacitas [Member] | Options [Member]
Assets, Fair Value
Investment Securities- Fair Value [Member]
Asset, Cost	14,134,540	7,404,911
Assets, Fair Value	17,923,989	10,549,102
Investment Securities- Fair Value [Member] | Level 1 [Member]
Assets, Fair Value	17,923,989	10,549,102
Investment Securities- Fair Value [Member] | Level 2 [Member]
Assets, Fair Value
Investment Securities- Fair Value [Member] | Level 3 [Member]
Assets, Fair Value
Investment Securities- Trading [Member]
Asset, Cost	2,457,162	17,650
Assets, Fair Value	2,468,809	18,654
Investment Securities- Trading [Member] | Level 1 [Member]
Assets, Fair Value	2,468,809	18,654
Investment Securities- Trading [Member] | Level 2 [Member]
Assets, Fair Value
Investment Securities- Trading [Member] | Level 3 [Member]
Assets, Fair Value
Convertible Preferred Stock [Member]
Asset, Cost	42,889,000	42,889,000
Assets, Fair Value	29,430,000	37,675,000
Convertible Preferred Stock [Member] | Level 1 [Member]
Assets, Fair Value
Convertible Preferred Stock [Member] | Level 2 [Member]
Assets, Fair Value
Convertible Preferred Stock [Member] | Level 3 [Member]
Assets, Fair Value	29,430,000	37,675,000
Convertible Note Receivable [Member]
Asset, Cost	138,599	50,000
Assets, Fair Value	153,590	66,978
Convertible Note Receivable [Member] | Level 1 [Member]
Assets, Fair Value
Convertible Note Receivable [Member] | Level 2 [Member]
Assets, Fair Value
Convertible Note Receivable [Member] | Level 3 [Member]
Assets, Fair Value	153,590	66,978
Warrant [Member] | American Premium Water Corp [Member]
Asset, Cost	860,342	860,342
Assets, Fair Value	2,188,264	862,723
Warrant [Member] | American Medical REIT Inc. [Member]
Asset, Cost
Assets, Fair Value
Warrant [Member] | Level 1 [Member] | American Premium Water Corp [Member]
Assets, Fair Value
Warrant [Member] | Level 1 [Member] | American Medical REIT Inc. [Member]
Assets, Fair Value
Warrant [Member] | Level 2 [Member] | American Premium Water Corp [Member]
Assets, Fair Value
Warrant [Member] | Level 2 [Member] | American Medical REIT Inc. [Member]
Assets, Fair Value
Warrant [Member] | Level 3 [Member] | American Premium Water Corp [Member]
Assets, Fair Value	2,188,264	862,723
Warrant [Member] | Level 3 [Member] | American Medical REIT Inc. [Member]
Assets, Fair Value

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Investments Measured At Fair Value - Schedule of Fair Value of Equity Security Investment (Details) - USD ($)		3 Months Ended	12 Months Ended
		Mar. 31, 2021	Dec. 31, 2020
Market Value		$ 20,492,795	$ 10,848,272
Level 1 [Member]
Market Value		2,039,298	10,567,756
Level 1 [Member] | Trading Stocks [Member]
Market Value		$ 2,468,809	$ 18,654
Valuation		Investment in Securities at Fair Value	Investment in Securities at Fair Value
Level 1 [Member] | True Partner Capital Holding Limited [Member]
Share price		$ 0.158
Shares		62,122,908
Market Value		$ 92,828,563
Valuation		Investment in Securities at Fair Value
Document Securities Systems Inc [Member] | Level 1 [Member]
Share price		$ 3.610	$ 6.240
Shares	[1]	1,162,501	1,162,501
Market Value		$ 4,196,629	$ 7,254,006
Valuation		Investment in Securities at Fair Value	Investment in Securities at Fair Value
Amarantus BioScience Holdings [Member] | Level 1 [Member]
Share price		$ 0.011	$ 0.008
Shares		20,000,000	20,000,000
Market Value		$ 228,000	$ 160,000
Valuation		Investment in Securities at Fair Value	Investment in Securities at Fair Value
Holista CollTech Limited [Member] | Level 1 [Member]
Share price		$ 0.049	$ 0.055
Shares		46,226,673	46,226,673
Market Value		$ 2,285,838	$ 2,565,469
Valuation		Investment in Securities at Fair Value	Investment in Securities at Fair Value
American Premium Water Corp [Member] | Level 1 [Member]
Share price		$ 0.008	$ 0.002
Shares		12,203,900	122,039,000
Market Value		$ 1,025,128	$ 256,284
Valuation		Investment in Securities at Fair Value	Investment in Securities at Fair Value
OptimumBank Holdings, Inc. [Member] | Level 1 [Member]
Share price		$ 3.870	$ 3.370
Shares		92,980	92,980
Market Value		$ 359,833	$ 313,343
Valuation		Investment in Securities at Fair Value	Investment in Securities at Fair Value
Nervotec Pte Ltd [Member]
Share price
Shares		1,666	1,666
Market Value		$ 37,826	$ 37,826
Valuation		Investment in Securities at Cost	Investment in Securities at Cost
Hyten Global (Thailand) Co., Ltd [Member]
Share price
Shares		20,000	20,000
Market Value		$ 42,562	$ 47,562
Valuation		Investment in Securities at Cost	Investment in Securities at Cost
K Beauty Limited [Member]
Share price
Shares		3,600
Market Value		$ 19,609
Valuation		Investment in Securities at Cost
Vivacitas [Member]
Share price
Shares			2,480,000
Market Value			$ 200,128
Valuation			Investment in Securities at Cost

[1] Ratio of 1-for-30 (the "Reverse Split") was effective at 5:01 p.m. Eastern Time on May 7, 2020 (the "Effective Time")

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Investments Measured At Fair Value - Schedule of Significant Inputs and Assumptions (Details)	3 Months Ended	12 Months Ended
	Mar. 31, 2021	Dec. 31, 2020
Document Securities Systems Inc [Member]
Expected exit date	Mar. 24, 2023	Dec. 31, 2023
Document Securities Systems Inc [Member] | Share Price [Member]
Equity securities, measurement input	4.22	6.24
Document Securities Systems Inc [Member] | Risk Free Interest Rate [Member]
Equity securities, measurement input	1.64	0.93
Document Securities Systems Inc [Member] | Volatility [Member]
Equity securities, measurement input	109.67	113.69
Document Securities Systems Inc [Member] | Dividend Yield [Member]
Equity securities, measurement input	0.00	0.00
Sharing Services Inc [Member] | Risk Free Interest Rate [Member] | Convertible Note Receivable [Member] | Level 3 [Member]
Convertible note, measurement input	3.25	0.13
Sharing Services Inc [Member] | Volatility [Member] | Convertible Note Receivable [Member] | Level 3 [Member]
Convertible note, measurement input	210.07	210.07
Sharing Services Inc [Member] | Dividend Yield [Member] | Convertible Note Receivable [Member] | Level 3 [Member]
Convertible note, measurement input	0.00	0.00
Sharing Services Inc [Member] | Contractual Term (in years) [Member] | Convertible Note Receivable [Member] | Level 3 [Member]
Convertible note, measurement term	1 year 6 months 3 days	1 year 9 months 3 days
Sharing Services Inc [Member] | Exercise Price [Member] | Convertible Note Receivable [Member] | Level 3 [Member]
Convertible note, measurement input	0.15	0.15
American Medical REIT Inc. [Member] | Warrant [Member] | Level 3 [Member]
Year to maturity	9 years 3 months 26 days	9 years 6 months 29 days
American Medical REIT Inc. [Member] | Share Price [Member] | Warrant [Member] | Level 3 [Member]
Warrants, measurement input	0.0084	0.0021
American Medical REIT Inc. [Member] | Risk Free Interest Rate [Member] | Warrant [Member] | Level 3 [Member]
Warrants, measurement input	1.74	0.88
American Medical REIT Inc. [Member] | Volatility [Member] | Warrant [Member] | Level 3 [Member]
Warrants, measurement input	232.10	178.86
American Medical REIT Inc. [Member] | Exercise Price [Member] | Warrant [Member] | Level 3 [Member]
Warrants, measurement input	0.001	0.001

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Investments Measured At Fair Value - Schedule of Change in Fair Value (Details) - USD ($)	3 Months Ended
	Mar. 31, 2021	Mar. 31, 2020
Investments, All Other Investments [Abstract]
Beginning Balance	$ 66,978	$ 26,209
Total losses	(1,987)	(12,599)
Ending Balance	$ 64,991	$ 13,610

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Commitments and Contingencies (Details Narrative)				3 Months Ended
	Dec. 31, 2018	Nov. 23, 2015 USD ($) a	May 28, 2014 USD ($) a	Mar. 31, 2021 USD ($) a	Mar. 31, 2020 USD ($)	Dec. 31, 2020 USD ($)
Area of land | a				15,811
Description of lease expiring date				Leases expiring on various dates from December 2020 to March 2024. As our leases do not provide a readily determinable implicit rates, we estimate our incremental borrowing rates to discount the lease payments based on information available at lease commencement. Our incremental borrowings rates are 3.9% in 2021 and at a range from 0.5% to 4.5% per annum in 2020, which were used as the discount rates.
Lease rental amount				$ 140,271	$ 85,558
Operating lease terms				12 months
Operating lease right-of-use asset				$ 722,507		$ 574,754
Operating lease liabilities				736,561		574,754
Notes receivable				669,561		$ 649,569
Minimum [Member]
Lease rental amount				2,265
Maximum [Member]
Lease rental amount				$ 23,297
Lots Sales Agreement [Member]
Description of real estate improvements	On December 31, 2018, SeD Maryland entered into the Third Amendment to the Lot Purchase Agreement for Ballenger Run with NVR. Pursuant to the Third Amendment, SeD Maryland will convert the 5.9 acre CCRC parcel to 36 lots (the 28 feet wide villa lot) and sell to NVR.
Lots Sales Agreement [Member] | SeD Maryland Development LLC [Member] | Ballenger Run [Member]
Payments to acquire real estate		$ 15,700,000
Area of land | a		197
Lots Sales Agreement [Member] | NVR Inc. [Member] | Ballenger Run [Member]
Payments to acquire real estate			$ 15,000,000
Area of land | a			197

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Commitments and Contingencies - Schedule of Lease Payments (Details) - USD ($)	Mar. 31, 2021	Dec. 31, 2020
Commitments and Contingencies Disclosure [Abstract]
2021	$ 341,827
2022	292,830
2023	95,104
2024	24,430
Total Minimum Lease Payments	754,191
Less: Effect of Discounting	(17,630)
Present Value of Future Minimum Lease Payments	736,561	$ 574,754
Less: Current Obligations under Leases	(51,686)	(381,412)
Long-term Lease Obligations	$ 684,875	$ 193,342

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Directors and Employees' Benefits (Details Narrative) - shares	3 Months Ended	12 Months Ended
	Mar. 31, 2021	Dec. 31, 2020
Share-based Payment Arrangement [Abstract]
Shares reserved for incentive compensation plan	500,000
Stock options granted

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Directors and Employees' Benefits - Schedule of Option Activity (Details) - USD ($)	3 Months Ended	12 Months Ended
	Mar. 31, 2021	Dec. 31, 2020
Share-based Payment Arrangement [Abstract]
Options for common shares, Outstanding at beginning	1,061,333	1,061,333
Options for common shares, vested and exercisable at beginning	1,061,333	1,061,333
Options for common shares, granted
Options for common shares, exercised
Options for common shares, forfeited, cancelled, expired
Options for common shares, Outstanding at end	1,061,333	1,061,333
Options for common shares, vested and exercisable at end	1,061,333	1,061,333
Exercise price, outstanding at beginning	$ 0.09	$ 0.09
Exercise price, vested and exercisable at beginning	0.09	0.09
Exercise price, granted
Exercise price, exercised
Exercise price, forfeited, cancelled, expired
Exercise price, outstanding at end	0.09	0.09
Exercise price, vested and exercisable at end	$ 0.09	$ 0.09
Remaining contractual term (years) outstanding, beginning	3 years	4 years
Remaining contractual term (years), vested and exercisable, beginning	3 years	4 years
Remaining contractual term (years) outstanding, ending	2 years 9 months	3 years
Remaining contractual term (years), vested and exercisable, ending	2 years 9 months	3 years
Aggregate intrinsic value, outstanding at beginning
Aggregate intrinsic value, vested and exercisable at beginning
Aggregate intrinsic value, outstanding at end
Aggregate intrinsic value, vested and exercisable at end

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Subsequent Events (Details Narrative)												3 Months Ended
		May 17, 2021 USD ($) $ / shares shares	May 14, 2021 USD ($) $ / shares shares	May 13, 2021 USD ($) shares	May 12, 2021 USD ($) $ / shares shares	May 10, 2021 USD ($) $ / shares shares	May 03, 2021 $ / shares shares	Apr. 30, 2021 USD ($)	Apr. 09, 2021 USD ($)	Apr. 05, 2021 USD ($) shares	Oct. 15, 2020 shares	Mar. 31, 2021 USD ($) $ / shares shares	May 14, 2021 SGD ($) shares	May 02, 2021 shares	Apr. 20, 2021	Apr. 08, 2021 $ / shares shares	Mar. 12, 2021 $ / shares	Dec. 31, 2020 USD ($) $ / shares shares	Jan. 24, 2017
Ownership percentage												57.10%						57.10%
Commpn stock shares outstanding												8,580,000						8,570,000
Common stock, shares authorized												20,000,000						20,000,000
Preferred stock, shares authorized												5,000,000						5,000,000
Preferred stock, par value | $ / shares												$ 0.001						$ 0.001
Outstanding notes | $												$ 178,400						$ 178,400
Shares issued, price per share | $ / shares																	$ 10.03
Chan Heng Fai [Member]
Number of shares purchased												1,000
Hengfeng Finance Limited [Member]
Ownership percentage												86.44%
SeD Maryland Development, LLC [Member]
Ownership percentage	[1]											47.70%						47.80%
American Pacific Bancorp [Member] | Hengfeng Finance Limited [Member]
Ownership percentage											100.00%
Shares purchased upon acquisition											3,500,001
Shares issued upon acquisition											250,000
SeD Capital Pte. Ltd [Member]
Ownership percentage																			100.00%
Subsequent Event [Member]
Common stock, shares authorized														20,000,000
Preferred stock, shares authorized														5,000,000
Subsequent Event [Member] | Underwritten Public Offering [Member]
Percentage of underwriting discount						6.50%
Percentage of non accountable expense fee						1.25%
Stock issuance cost | $						$ 150,000
Proceeds from sale of equity | $						$ 29,200,000
Subsequent Event [Member] | Underwritten Public Offering [Member] | Series A Warrant [Member]
Warrant exercise price | $ / shares						$ 5.07
Subsequent Event [Member] | Underwritten Public Offering [Member] | Series B Warrant [Member]
Warrant exercise price | $ / shares						$ 6.59
Subsequent Event [Member] | Over-Allotment Option [Member] | Series A Warrant [Member]
Number of securities called by warrants						808,363
Number of warrants issued						808,363
Subsequent Event [Member] | Over-Allotment Option [Member] | Series B Warrant [Member]
Number of securities called by warrants						404,181
Number of warrants issued						808,363
Subsequent Event [Member] | Common Stock [Member] | Underwritten Public Offering [Member]
Number of shares purchased						4,700,637
Shares issued, price per share | $ / shares						$ 5.07
Subsequent Event [Member] | Common Stock [Member] | Over-Allotment Option [Member]
Number of warrants issued						808,363
Subsequent Event [Member] | Pre Funded Units [Member] | Underwritten Public Offering [Member]
Number of shares purchased						1,611,000
Shares issued, price per share | $ / shares						$ 5.06
Subsequent Event [Member] | Series A Convertible Preferred Stock [Member]
Common stock, shares authorized							250,000,000
Preferred stock, shares authorized							25,000,000
Preferred stock, shares designated							6,380
Preferred stock, par value | $ / shares							$ 0.001
Shares exchanged							6,380,000
Shares issued							6,380
Subsequent Event [Member] | Series B Preferred Stock [Member]
Preferred stock, shares designated					2,132
Preferred stock, par value | $ / shares					$ 0.001
Subsequent Event [Member] | Chan Heng Fai [Member]
Payments for warrant exercise | $					$ 2,744,259
Outstanding notes | $			$ 5,557,371
Loan maturity date			May 14, 2022
Subsequent Event [Member] | Chan Heng Fai [Member] | Singapore Dollars [Member]
Outstanding notes | $													$ 7,395,472
Subsequent Event [Member] | Chan Heng Fai [Member] | Series B Preferred Stock [Member]
Debt conversion amount | $				$ 13,000,000
Outstanding notes | $				$ 28,363,966
Debt conversion shares issued				2,132
Subsequent Event [Member] | Singapore [Member] | Chan Heng Fai [Member]
Number of securities called by warrants					76,925,000
Warrant exercise price | $ / shares					$ 0.048
Subsequent Event [Member] | Credas Capital Pte Ltd [Member]
Percentage of interest in joint venture															50.00%
Subsequent Event [Member] | SeD Maryland Development, LLC [Member]
Ownership percentage								83.55%
Distributions to members | $								$ 3,000,000
Distributions to minority member | $								$ 493,500
Subsequent Event [Member] | GigWorld Inc [Member] | Value Exchange International Inc [Member]
Number of shares purchased										6,500,000
Purchase price | $										$ 650,000
Subsequent Event [Member] | Alset International [Member]
Ownership percentage		71.40%
Payments for warrant exercise | $		$ 33,660,000							$ 4,180,000
Commpn stock shares outstanding		2,931,951,400
Ownership shares owned		2,094,516,748
Subsequent Event [Member] | Alset International [Member] | Singapore [Member]
Number of securities called by warrants		943,531,983	943,531,983										943,531,983			139,834,471
Warrant exercise price | $ / shares		$ 0.048	$ 0.048													$ 0.04
Subsequent Event [Member] | SeD Capital Pte. Ltd [Member] | Novum Alpha Pte Ltd [Member]
Percentage of interest in joint venture															50.00%

[1] Although the Company indirectly holds percentage of shares of these entities less than 50%, the subsidiaries of the Company directly hold more than 50% of shares of these entities, and therefore, they are still consolidated into the Company.