Operating Leases

6 Months Ended

Jun. 30, 2026

NOTE 11 — OPERATING LEASES

The Company has entered into a commercial operating lease with an independent third party for the use of an office in Hong Kong. The lease has an original term exceeding 1 year, but not more than 3 years with an option to renew a further term of 3 years. The operating leases are included in “Right-of-use asset, net” on the unaudited condensed consolidated balance sheets and represents the Company’s right to use the underlying assets during the lease term. The Company’s obligation to make lease payments are included in “Operating lease liabilities” on the unaudited condensed consolidated balance sheets.

Supplemental balance sheet information related to the operating lease was as follows:

	As of
	June 30, 2026			December 31, 2025
Operating lease:
Right-of-use assets	$	2,827		$	2,827
Less: accumulated amortization		(54	)		(54	)
Less: accumulated impairment losses		(2,773	)		(2,773	)
Right-of-use asset, net	$	—		$	—

Lease liabilities:
Current lease liabilities	$	879		$	960
Non-current lease liabilities		2,008			2,426
Total lease liabilities	$	2,887		$	3,386

Operating lease expense for the three and six months ended June 30, 2026 was approximately $0.0 and $0.08 million, respectively.

Operating lease expense for the three and six months ended June 30, 2025 was approximately $0.5 million and $1.0 million, respectively.

Other supplemental information about the Company’s operating lease as of June 30, 2026 and December 31, 2025 are as follow:

	As of
	June 30, 2026			December 31, 2025
Weighted average discount rate		5.25	%		5.25	%
Weighted average remaining lease term (years)		2.89			3.39

Maturities of operating lease liabilities as of June 30, 2026 were as follows:

For the year ending June 30,	Operating lease
2027	$	995
2028		910
2029		917
2030		289
Total minimum lease payments		3,111
Less: imputed interest		(224	)
Total operating lease liabilities	$	2,887