Prepayments, Deposits and Other Assets, Net (Tables)

6 Months Ended

Jun. 30, 2024

Prepayments, Deposits and Other Assets, Net [Abstract]

Schedule of Prepayments, Deposits and Other Assets, Net

Prepayments, deposits and other assets, net consisted of the following:

	June 30, 2024			December 31, 2023
Security deposits (1)	$	287,621		$	248,146
Advances to suppliers		1,964,693			2,032,099
Advances to employees		107,772			46,293
Prepaid expense		815,742			1,099,950
Prepayment for potential acquisition (2)		15,906,186			15,906,186
Antique art pieces (3)		45,479,830			59,651,975
Deferred financing cost		237,430			-
Others		3,030			6,511
		64,802,304			78,991,160
Less: Long term portion		(46,275,401	)		(76,274,752	)
Allowance for credit losses		-			(281,694	)
Prepayments, deposits and other assets – current portion	$	18,526,903		$	2,434,714

(1)	Security deposits mainly represent contract fulfillment deposits required by customer for specific projects, rent deposits and etc.
(2)	On March 24, 2023, the Group entered into an equity transfer agreement with a shareholder of DTI Group Limited (“DTI”), pursuant to which the Group agreed to prepay 698,301 shares (split-adjusted 34,915 shares, equivalent to $15,906,186) to purchase 32% equity of DTI.
(3)	On January 5, 2023, the Group received 20 antique art pieces to settle $59,651,975 (RMB411,157,212) from a debt extinguish agreement. On May 1, 2024, the Group settled 7 antique art pieces as a purchase consideration to acquire Hongchuangxin (details refer to Note 3).

Schedule of Allowance for Credit Losses

Movement of allowance for credit losses is as follows:

	Six Months Ended June 30, 2024			Year Ended December 31, 2023
Beginning balance	$	281,694		$	364,973
Written-off		(277,200	)		(75,000	)
Foreign currency translation adjustments		(4,494	)		(8,279	)
Ending balance	$	-		$	281,694