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LEASES

12 Months Ended

Dec. 31, 2024

16. LEASES

As of December 31, 2024, the Company had operating leases for its New York and Hong Kong offices. The remaining lease terms ranges from 0.08 to 0.75 years. The Company’s lease agreements do not contain any material residual value guarantees or material restrictive covenants. As of December 31, 2024, the weighted average remaining lease term was 0.72 years and the weighted average discount rate was 5%.

The following table presents the operating lease related assets and liabilities recorded on the Group’s consolidated balance sheet.

	December 31, 2024		December 31, 2023
	US$		US$
Right-of-use assets		238,330		556,104
Impairment of right-of-use assets		—		—
Right-of-use assets, net		238,330		556,104

Operating lease liabilities - current		282,279		352,178
Operating lease liabilities – non-current		—		282,279
Total operating lease liabilities		282,279		634,457

The following table presents the components of the Company’s office lease expense in the year ended December 31, 2022, 2023 and 2024, which are included in general administrative on the consolidated statements of operations:

SCHEDULE OF OFFICE LEASE EXPENSE

	2024		2023		2022
	For the year ended December 31,
	2024		2023		2022
	US$		US$		US$
Operating lease cost		341,535		358,044		60,578
Variable lease cost		—		—		—
Operating lease expense		341,535		358,044		60,578
Short-term lease rent expense		38,236		57,621		31,301
Total lease expense		379,771		415,665		91,879

The following table summarizes the maturity of operating lease liabilities as of December 31, 2024:

	US$
2025		288,594
Total		288,594
Less: imputed interest		(6,315	)
Present value of lease liabilities		282,279

MERCURITY FINTECH HOLDING INC.

NOTES TO CONSOLIDATED FINANCIAL STATEMENTS (CONTINUED)

(In U.S. dollars, except for number of shares and per share (or ADS) data)