Revenue Performance - Total net revenues for the year ended December 31, 2021, were $653,036, a decrease of 12.0% from $742,125 in 2020[150] - Revenue from market data services increased to $107,184, representing 16.4% of total net revenues, compared to $73,524 or 9.9% in 2020[151] - Commissions revenue decreased to $390,569, accounting for 59.8% of total net revenues, down from $643,145 or 86.7% in 2020[151] Profitability - Gross profit for 2021 was $511,734, with a gross margin of 78.4%, down from a gross profit of $734,720 and a margin of 99.0% in 2020[154] - Loss from operations for 2021 was $6,483,184, an increase of 103.6% from a loss of $3,184,151 in 2020[171] - Net loss for the year ended December 31, 2021, was $7,050,755, or $0.29 per share, compared to a net loss of $3,181,596, or $0.16 per share in 2020[173] - Comprehensive loss for the year ended December 31, 2021, was $7,005,640, compared to $3,063,909 for 2020, reflecting an increase in losses[176] Operating Expenses - Operating expenses increased to $2,083,019 for 2021, up from $1,744,395 in 2020, primarily due to increased payroll and related benefits[159] - Payroll and related benefits surged to $2,446,019, an increase of 138.7% from $1,024,565 in 2020, reflecting business expansion[157] - Selling and marketing expenses rose to $303,079, an increase of 24.1% from $244,163 in 2020, driven by an increase in selling staff[156] - Research and development expenses for 2021 were $744,422, compared to $410,840 in 2020 and $737,329 in 2019, indicating a significant increase of 81% from 2020 to 2021[199] Cash Flow and Liquidity - Cash balance increased by $9,780,000, or 685.8%, from $1,426,000 as of December 31, 2020, to $11,206,000 as of December 31, 2021, primarily due to a registered direct offering and private placement[179] - Working capital increased by $11,125,079, reaching $12,720,191 as of December 31, 2021, a 697.4% increase from $1,595,112 as of December 31, 2020[185] - Net cash used in operating activities for the year ended December 31, 2021, was $4,096,506, reflecting a net loss of approximately $7,051,000[188] - Net cash flow provided by financing activities was $16,471,560 for the year ended December 31, 2021, compared to $37,250 in 2020 and $6,438,216 in 2019[192] - The company raised approximately $15,910,000 from a registered direct offering of 4,300,000 common shares at $3.70 per share on February 22, 2021[197] - The company entered into a private placement on December 20, 2021, raising $2,000,000 by selling 5,000,000 common shares at $0.40 per share[198] Assets and Liabilities - Total current assets increased from $2,253,141 as of December 31, 2020, to $13,848,423 as of December 31, 2021, a 514.6% increase[185] - Total current liabilities increased from $658,029 as of December 31, 2020, to $1,128,232 as of December 31, 2021, a 71.5% increase[185] - As of December 31, 2021, the company had cash and cash equivalents of $11,206,220, a substantial increase from $1,425,926 in 2020[302] - The company had no short-term or long-term borrowings as of December 31, 2021, following the full forgiveness of a $41,250 loan from the Paycheck Protection Program in January 2021[301] Currency and Economic Factors - The RMB appreciated by 2.4% in fiscal year 2020 and depreciated by 2.3% in fiscal 2021, impacting the company's financial results reported in U.S. dollars[304] - The company has not been exposed to material risks due to changes in interest rates, but future interest income may fall short of expectations[301] - Inflationary factors may adversely affect operating results, although the company does not believe inflation has materially impacted its financial position to date[303] - The company has no exposure to commodity price risk[305] - There has been no default of any indebtedness nor any arrearage in the payment of dividends[306] - The company is not aware of any trends or uncertainties that could materially affect its net revenues or profitability[200] - The company’s functional currency is RMB, while financial statements are presented in U.S. dollars, complicating the impact of currency fluctuations on reported results[304]

Financial Performance - The company reported a revenue of $742,125 for the year ended December 31, 2020, a significant increase from $200,797 in 2019, representing a growth of approximately 269%[20] - The gross profit for 2020 was $734,720, compared to $109,907 in 2019, indicating a substantial increase in profitability[20] - The total operating expenses for 2020 were $3,918,871, up from $3,050,683 in 2019, reflecting an increase of about 28.5%[20] - The net loss for the year ended December 31, 2020, was $3,181,596, compared to a net loss of $2,243,234 in 2019, marking an increase in losses of approximately 41.9%[20] - Cash and cash equivalents decreased from $3,642,521 in 2019 to $1,425,926 in 2020, indicating a significant reduction in liquidity[382] Assets and Liabilities - Total current assets decreased to $2,253,141 in 2020 from $4,347,710 in 2019, a decline of about 48%[21] - Total liabilities decreased to $1,014,469 in 2020 from $1,453,833 in 2019, a reduction of approximately 30.2%[21] - The company's total shareholders' equity (deficit) was $2,695,803 in 2020, down from $4,754,712 in 2019, indicating a decrease of about 43.3%[21] Market and Economic Conditions - The company faces adverse impacts from difficult market conditions, economic uncertainties, and geopolitical factors, which could lead to reduced trading volume and profitability[38] - A prolonged slowdown in the Chinese or global economy may negatively affect the company's operations and financial condition, with significant disruptions in global financial markets since 2008[39] - Seasonality in financial markets may lead to lower transaction volumes during summer and year-end periods, adversely impacting financial performance[58] Regulatory and Compliance Risks - Increased regulatory scrutiny and compliance costs may arise as the company grows, potentially leading to civil and criminal liabilities if regulations are violated[43] - The evolving regulatory framework in China poses risks, as non-compliance with laws could materially affect the company's operations and financial results[74] - Compliance with PRC regulations is crucial for maintaining preferential tax treatments, which could affect the company's corporate structure and operations[95] Strategic Initiatives - The company may pursue strategic alliances, acquisitions, or joint ventures, which could present unforeseen integration obstacles and financial challenges[31] - The company acquired 75.1% of MMBD Trading Ltd. in April 2019 and all outstanding securities of MMBD Investment Advisory Company Limited for $1,000 in March 2020, enhancing its market presence[43] - The company may pursue further acquisitions and investments, but these transactions carry risks that could adversely affect financial and strategic positions[67] Foreign Exchange and Funding Risks - Significant fluctuations in the U.S. dollar against RMB could adversely affect the company's financial results, impacting both expenses and revenues[49] - The company is dependent on adequate funding and capital; failure to raise additional funds on acceptable terms could hinder business development and response to competitive pressures[50] - The PRC government controls currency conversion, which may limit the company's ability to utilize future revenues effectively and obtain financing[113] Labor and Operational Challenges - Increased labor costs in China are expected to continue, which may adversely affect the company's financial condition unless costs can be controlled or passed on to users[72] - The company relies on third-party service providers, and any failure in their performance could disrupt service delivery and impact customer relationships[83] - The company's operations rely heavily on the performance of Internet infrastructure in China, with potential risks from service disruptions affecting user traffic and operational costs[53] Shareholder and Governance Issues - Approximately 43.2% of the company's outstanding common shares are owned by officers, directors, and principal shareholders, allowing them significant control over shareholder matters[127] - Minority shareholders may have fewer protections under BVI law compared to U.S. law, potentially limiting their recourse in corporate governance matters[138] Legal and Tax Considerations - The company is subject to potential intellectual property infringement claims, which could disrupt operations and incur significant costs[69] - The company faces uncertainties regarding PRC tax reporting obligations for indirect transfers of stock, which could lead to significant tax liabilities[102] - The payment of dividends by the PRC subsidiary is restricted to accumulated profits, and at least 10% of after-tax profits must be set aside for reserves until reaching 50% of registered capital[119] Public Company Transition - The company will incur increased costs and face additional regulations as a newly public company, which may impact profitability and operational efficiency[128] - The company incurred significant legal, accounting, and compliance costs as a newly public entity, which are expected to increase due to regulations like the Sarbanes-Oxley Act[129] - The company is classified as an "emerging growth company," allowing it to take advantage of reduced disclosure requirements, which may affect investor attractiveness[141]

UNITED STATES SECURITIES AND EXCHANGE COMMISSION Washington, D.C. 20549 FORM 20-F (Mark one) ☐ REGISTRATION STATEMENT PURSUANT TO SECTION 12(b) OR (g) OF THE SECURITIES EXCHANGE ACT OF 1934 OR ☒ ANNUAL REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the fiscal year ended December 31, 2019 OR ☐ TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 OR ☐ SHELL COMPANY REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 19 ...

UNITED STATES SECURITIES AND EXCHANGE COMMISSION Washington, D.C. 20549 FORM 20-F (Mark one) ☐ REGISTRATION STATEMENT PURSUANT TO SECTION 12(b) OR (g) OF THE SECURITIES EXCHANGE ACT OF 1934 OR ☒ ANNUAL REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the fiscal year ended December 31, 2018 OR ☐ TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 OR ☐ SHELL COMPANY REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 19 ...