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RELATED PARTY TRANSACTIONS (Tables)
3 Months Ended
Mar. 31, 2024
Related Party Transactions [Abstract]  
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, 2024 and December 31, 2023:

 

   Fair Value Measurement Using   Amount at 
   Level 1   Level 2   Level 3   Fair Value 
March 31, 2024                    
Asset                    
Warrants – SHRG  $-   $141,667   $-   $141,667 
Convertible loans receivable – SHRG   -    

324,521

    -   $

324,521

 
                                     
Total Investment in securities at Fair Value  $-   $466,188   $-   $466,188 

SCHEDULE OF FAIR VALUE WEIGHTED AVERAGE ASSUMPTIONS

The fair value of the SHRG warrants under level 2 category as of March 31, 2024 was calculated using a Black-Scholes valuation model valued with the following weighted average assumptions:

 

SCHEDULE OF FAIR VALUE WEIGHTED AVERAGE ASSUMPTIONS

   March 31, 
   2024 
     
Stock price  $0.0016 
Exercise price  $0.0012 
Risk free interest rate   4.22%
      
Annualized volatility   136.81%
Dividend Yield  $0.00%
Year to maturity   4.96 

 

The Company has elected to recognize the convertible loan at fair value and therefore there was no further evaluation of embedded features for bifurcation. The Company engaged third party valuation firm to perform the valuation of convertible loans. The fair value of the convertible loans is calculated using the binomial tree model based on probability of remaining as straight debt using discounted cash flow with the following assumptions:

 

  

March 31,

2024

 
Risk-free interest rate   4.417%
Expected life   2.96 year 
Discount rate   6.00%
Expected volatility   132.407%
Expected dividend yield   0%
Fair value  $324,521