Prepaid Expenses and Other Assets

6 Months Ended

Jun. 30, 2026

Prepaid Expenses And Other Assets [Abstract]

4. PREPAID EXPENSES AND OTHER ASSETS

As of June 30, 2026 and December 31, 2025, prepaid expenses and other assets were comprised of the following:

	June 30,			December 31,
	2026			2025

Due from online payment platforms (a)	$	1,430,700		$	1,325,600
Prepayment to suppliers		447,000			813,100
Others		299,800			214,200
Less: allowance for credit loss against other receivable		(80,500	)		-
	$	2,097,000		$	2,352,900

For the six months ended June 30, 2026, the Company filed a lawsuit case against one customer for collection of the outstanding receivable. However management assessed the collection was remote. For the six months ended June 30, 2026, the Company provided full allowance of $80,500 of credit losses against the customer.

(a)

The Company’s IAP customers make payments to the Company through online payment platforms, including Apple Pay and Google Pay. It generally takes 2 – 3 weeks for the online payment platforms to make the payments from online payment platforms accounts to the Company’s bank account. As of June 30, 2026 and December 31, 2025, the outstanding represented IAP service fees in the account of the Company’s online payment platforms.