v3.26.1
Segments
 6 Months Ended
Jun. 30, 2026
Segment Reporting [Abstract]  
SEGMENTS

NOTE 14 – SEGMENTS

 

The Company accounts for its reportable segments in accordance with ASC 280, Segment Reporting. The Company has identified two reportable segments: Bitcoin Mining and Fintech Services. Operating segments are components of the Company for which discrete financial information is available and is regularly reviewed by the Company’s Chief Operating Decision Maker (“CODM”) in assessing segment performance and making decisions regarding the allocation of resources.

 

The Company’s CODM consists of its Chief Executive Officer and Vice President. The CODM regularly reviews the financial results of each reportable segment, including revenues and expenses, to assess segment performance, evaluate operating results, and make decisions regarding the allocation of resources. The Company’s segment disclosures reflect the financial information and measures regularly provided to and reviewed by the CODM.

The following is the balance sheet for the Company’s reportable segments for as of June 30, 2026.

 

    Fintech
Segment		     Bitcoin
Mining
Segment		     Consolidated
Total		  
ASSETS                  
Current Assets:                  
Cash   $ 1,256,050     $ 24,176     $ 1,280,226  
Prepaid expenses     441,016       —       441,016  
Accounts receivable     (25,437 )     25,437       —  
Other receivables     477,216       398,983       876,199  
Other current assets     —       100,820       100,820  
Total Current Assets     2,148,845       549,416       2,698,261  
                         
Other Assets:                        
Property and equipment, net     —       2,718,298       2,718,298  
Goodwill     8,139,889       —       8,139,889  
Other long-term assets     380,952       —       380,952  
Total Other Assets     8,520,841       2,718,298       11,239,139  
                         
TOTAL ASSETS   $ 10,669,686     $ 3,267,714     $ 13,937,400  
                         
LIABILITIES AND STOCKHOLDERS’ EQUITY                        
Current Liabilities:                        
Cash overdraft   $ 27,019     $ —     $ 27,019  
Accounts payable     2,727,333       673,472       3,400,805  
Accrued expenses     892,686       79,812       972,498  
Merchant portfolio purchase installment obligation     2,000,000       —       2,000,000  
Related party payable     132,164       4,175       136,339  
Accrued interest – related party     75,884       —       75,884  
Note payable – current portion     182,684       —       182,684  
Due to/from intercompany     (24,741,459 )     24,741,459       —  
Total Current Liabilities     (18,703,689 )     25,498,918       6,795,229  
Total Liabilities     (18,703,689 )     25,498,918       6,795,229  
                         
Stockholders’ Equity:                        
Series A Preferred stock     —       —       —  
Common stock     1,576       —       1,576  
Treasury stock     (109,988 )     —       (109,988 )
Additional paid-in capital     83,831,729       100       83,831,829  
Accumulated deficit     (54,349,942 )     (22,231,304 )     (76,581,246 )
Total stockholders’ equity (deficit)     29,373,375       (22,231,204 )     7,142,171  
TOTAL LIABILITIES AND STOCKHOLDERS’ EQUITY   $ 10,669,686     $ 3,267,714     $ 13,937,400  

 

The following tables detail revenue and operating expenses for the Company’s reportable segments for the six months ended June 30, 2026.

 

   Fintech
Segment		   Bitcoin
Mining
Segment		   Consolidated
Total		 
Revenue:            
Transaction and processing fees  $2,687,681   $—   $2,687,681 
Revenue, net - bitcoin mining   —    121,461    121,461 
Other revenue from monthly recurring subscriptions   44,182    4,545    48,727 
Digital product revenue   77,726    
—
    77,726 
Total revenue   2,809,589    126,006    2,935,595 
                
Operating expenses:               
Processing and servicing costs   2,544,846    —    2,544,846 
Depreciation expense   —    6,822    6,822 
Salaries and wages   1,151,640    330,397    1,482,037 
Professional fees   268,669    —    268,669 
General and administrative expenses   784,938    378,039    1,162,977 
Total operating expenses   4,750,093    715,258    5,465,351 
                
Loss from operations   (1,940,504)   (589,252)   (2,529,756)
                
Other income (expense):               
Unrealized loss of cryptocurrency   —    (20,648)   (20,648)
Interest expense   (54,196)   (21,806)   (76,002)
Gain on settlement of accounts payable   494,018    —    494,018 
Total other income   439,822    (42,454)   397,368 
                
Net loss   (1,500,682)   (631,706)   (2,132,388)

The following is the balance sheet for the Company’s reportable segments for the year ended December 31, 2025.

 

   Fintech
Segment		   Bitcoin
Mining
Segment		   Consolidated
Total		 
ASSETS            
Current Assets:            
Cash  $15,751   $26   $15,777 
Accounts receivable, net   17,430    —    17,430 
Prepaid expenses   162,766    —    162,766 
Other receivables   430,232    398,983    829,215 
Other current assets   —    25,444    25,444 
Total Current Assets   626,179    424,453    1,050,632 
                
Other Assets:               
Property and equipment, net   —    2,725,120    2,725,120 
Goodwill   8,139,889    —    8,139,889 
Other long-term assets   380,952    —    380,952 
Total Other Assets   8,520,841    2,725,120    11,245,961 
                
TOTAL ASSETS  $9,147,020   $3,149,573   $12,296,593 
                
LIABILITIES AND STOCKHOLDERS’ EQUITY               
Current Liabilities:               
Cash overdraft  $27,019   $—   $27,019 
Accounts payable   3,780,116    682,134    4,462,250 
Accrued expenses   817,600    —    817,600 
Merchant portfolio purchase installment obligation   2,000,000    —    2,000,000 
Related party payable   167,315    —    167,315 
Note payable – current portion   216,684    —    216,684 
Due to/from intercompany   (24,067,037)   24,067,037    — 
Total Current Liabilities   (17,058,303)   24,749,171    7,690,868 
Total Liabilities   (17,058,303)   24,749,171    7,690,868 
                
Stockholders’ Equity:               
Series A Preferred stock   —    —    — 
Common stock   944    —    944 
Treasury stock   (109,988)   —    (109,988)
Additional paid-in capital   79,163,627    —    79,163,627 
Accumulated deficit   (52,849,260)   (21,599,598)   (74,448,858)
Total stockholders’ equity (deficit)   26,205,323    (21,599,598)   4,605,725 
TOTAL LIABILITIES AND STOCKHOLDERS’ EQUITY  $9,147,020   $3,149,573   $12,296,593 

The following tables detail revenue and operating expenses for the Company’s reportable segments for the six months ended June 30, 2025.

 

   Fintech
Segment		   Bitcoin
Mining
Segment		   Consolidated
Total		 
Revenue:            
Transaction and processing fees  $4,154,619   $—   $4,154,619 
Merchant equipment rental and sales   16,687    —    16,687 
Revenue, net - bitcoin mining   —    145,672    145,672 
Other revenue from monthly recurring subscriptions   142,996    —    142,996 
Digital product revenue   128,753    —    128,753 
Total revenue   4,443,055    145,672    4,588,727 
                
Operating expenses:               
Processing and servicing costs, excluding merchant portfolio amortization   3,773,128    —    3,773,128 
Amortization expense   3,972    —    3,972 
Depreciation expense   —    379,316    379,316 
Salaries and wages   1,072,397    511,573    1,583,970 
Professional fees   294,306    117,833    412,139 
General and administrative expenses   789,496    192,131    981,627 
Total operating expenses   5,993,299    1,200,853    7,134,152 
                
Loss from operations   (1,490,244)   (1,055,181)   (2,545,425)
                
Other income (expense):               
Interest expense   (395,124)   —    (395,124)
Loss on conversion related party   (175,763)   —    (175,763)
Loss on extinguishment of debt   (52,000)   —    (52,000)
Other expense   (45,000)   —    (45,000)
Total other income   (667,887)   —    (667,887)
                
Net loss   (2,158,131)   (1,055,181)   (3,213,312)
                
Deemed Preferred dividends (related party)   (775,000)   —    (775,000)
Preferred dividends (related party)   (30,630)   —    (30,630)
                
Net Loss Applicable to Common Stockholders’  $(2,296,761)  $(1,055,181)  $(4,018,942)