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Concentration of Risk
6 Months Ended
Jun. 30, 2023
Concentration of Risk [Abstract]  
Concentration of risk

Note 12 – Concentration of risk

 

Credit risk

 

Financial instruments that potentially subject the Company to significant concentrations of credit risk consist primarily of cash and accounts receivable. As of June 30, 2023 and December 31, 2022, $62,615 and $215,880 and were deposited with various financial institutions located in the PRC, respectively. As of June 30, 2023 and December 31, 2022, $7,338,124 and $173,228 were deposited with one financial institution located in the U.S., respectively. While management believes that these financial institutions are of high credit quality, it also continually monitors their credit worthiness.

 

Accounts receivable are typically unsecured and derived from revenue earned from customers, thereby exposed to credit risk. The risk is mitigated by the Company’s assessment of its customers’ creditworthiness and its ongoing monitoring of outstanding balances.