0001410578-23-000924 | 20-F | XBRL Viewer | Baosheng Media Group Holdings LTD

For the Years Ended

December 31,

Average rate

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CONSOLIDATED BALANCE SHEETS - USD ($)	Dec. 31, 2022	Dec. 31, 2021
Current Assets
Cash and cash equivalents	$ 6,679,077	$ 4,751,538
Restricted cash		4,131,313
Short-term investments	3,082,990
Accounts receivable, net	32,101,818	56,363,183
Prepayments - third parties	803,956	9,376,247
Prepayments - a related party	3,314,744	2,361,779
Media deposits - third parties	1,281,434	1,244,704
Media deposits - a related party	104,390	1,426,419
Due from related parties	28,667	1,748,769
Other current assets	2,742,406	4,797,022
Total Current Assets	50,139,482	86,200,974
Long-term investment	2,261,787	1,569,218
Property and equipment, net	2,351,328	1,378,457
Intangible assets, net	558,226	775,603
Prepayments for licensed copyrights	2,735,592	2,960,789
Right of use assets		1,195,092
Total Assets	58,046,415	94,080,133
Current Liabilities
Bank borrowings	1,449,864
Accounts payable	8,853,669	12,161,957
Advance from advertisers	748,039	1,622,458
Advertiser deposits	541,444	916,531
Dividends payable		1,255,375
Income tax payable	257,262	278,440
Due to related parties	14,499	0
Operating lease liabilities, current		515,592
Warrant liabilities	832	2,744
Accrued expenses and other liabilities	744,181	2,728,300
Total Current Liabilities	12,609,790	19,481,397
Operating lease liabilities, noncurrent		537,447
Total Liabilities	12,609,790	20,018,844
Commitments and Contingencies
Shareholders' Equity
Ordinary Share (par value $0.0096 per share, 6,250,000 shares authorized; 1,534,487 shares issued and outstanding at December 31, 2022 and 2021, respectively)	14,731	14,731
Additional paid-in capital	41,564,418	41,564,418
Statutory reserve	898,133	898,133
Retained earnings	5,257,627	28,996,464
Accumulated other comprehensive (loss) income	(2,298,284)	2,587,543
Total Shareholders' Equity	45,436,625	74,061,289
Total Liabilities and Shareholders' Equity	$ 58,046,415	$ 94,080,133

SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (Policies)

12 Months Ended

Dec. 31, 2022

SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES

Basis of Presentation and Principles of Consolidation

The accompanying consolidated financial statements have been prepared in accordance with accounting principles generally accepted in the United States of America (“U.S. GAAP”) and pursuant to the rules and regulations of the Securities Exchange Commission (“SEC”).

The consolidated financial statements include the financial statements of the Company and its wholly owned subsidiaries. All intercompany transactions and balances among the Company and its subsidiaries have been eliminated upon consolidation.

Use of estimates

The preparation of financial statements in conformity with U.S. GAAP requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities, disclosures of contingent assets and liabilities on the date of the financial statements, and the reported amounts of revenue and expenses during the reporting period. Actual results could differ from those estimates. On an ongoing basis, management reviews these estimates and assumptions using the currently available information. Changes in facts and circumstances may cause the Company to revise its estimates. The Company bases its estimates on past experience and on various other assumptions that are believed to be reasonable, the results of which form the basis for making judgments about the carrying values of assets and liabilities. Estimates are used when accounting for items and matters including, but not limited to, determinations of the useful lives and valuation of long-lived assets, estimates of allowances for doubtful accounts, valuation allowance for deferred tax assets, fair value of warrant liabilities, revenue recognition, and other provisions and contingencies.

Cash and cash equivalents

Cash and cash equivalents primarily consist of bank deposits, as well as highly liquid investments, with original maturities of three months or less, which are unrestricted as to withdrawal and use. The Company maintains most of the bank accounts in the PRC. Cash balances in bank accounts in PRC are not insured by the Federal Deposit Insurance Corporation or other programs.

Restricted cash

Restricted cash represents cash or cash equivalents at banks subject to withdrawal restrictions. As of December 31, 2021, the Company had restricted cash in bank accounts in the amount of $4,131,313, which were frozen by a local court (Note 17). As of December 31, 2022, all frozen accounts have all been unfrozen.

Short-term investments

Short-term investments consist of US Treasury Bills and investments in trading securities.

US Treasury Bills

The Company purchased US Treasury Bills with variable interest rates during the year of 2022. US Treasury bills were redeemable within a period of three through six months. In accordance with ASC 825, Financial Instruments, for financial products with variable interest rates referenced to performance of underlying assets, the Company elected the fair value method at the date of initial recognition and carries these investments at fair value with fair value change gains or losses recorded in the investment income in the consolidated statements of operations and comprehensive (loss) income. As of December 31, 2022, the Company had US Treasury Bills of $987,600, including gross unrealized gains of $7,135.

Investments in trading securities

Trading securities are investments in publicly-listed equity securities through various open market transactions. During the year ended December 31, 2022, the Company purchased certain publicly-listed equity securities through various open market transactions and accounted for such investments as “short-term investments” and subsequently measure the investments at fair value. The Company made a gain of $10,200 in investment in trading securities for the year ended December 31, 2022.

Accounts receivable, net of provision for doubtful accounts

Accounts receivable are recorded at the gross billing amount less an allowance for any uncollectible accounts due from the advertisers for the acquisition of ad inventory and other advertising services on their behalf. Accounts receivable do not bear interest. Management reviews the adequacy of the allowance for doubtful accounts on an ongoing basis, using historical collection trends and aging of receivables. Management also periodically evaluates individual customer’s financial condition, credit history and the current economic conditions to make adjustments in the allowance when necessary. An allowance for doubtful accounts is made and recorded into general and administrative expenses based on any specifically identified accounts receivable that may become uncollectible. Account balances are charged off against the allowance after all means of collection have been exhausted and the potential for recovery is considered remote.

Prepayments

Prepayments represent amounts advanced to media or their authorized agencies (collectively “publishers”) for running of advertising campaigns of the advertisers. The publishers usually require advance payments when the Company orders advertising campaign services on behalf of its advertisers, and the prepayments will be utilized to offset the Company’s future payments. These amounts are unsecured, non-interest bearing and generally short-term in nature, which are reviewed periodically to determine whether their carrying value has become impaired. As of December 31, 2022 and 2021, the Company accrued allowances of doubtful accounts of $2,153,390 and $2,701,166, respectively, against prepayments.

Media deposits

Media deposits represent performance security deposit upon becoming an authorized agency of the relevant media (platforms where online advertisement is delivered) as a guarantee of performance and obligations and deposit associated with committed advertising spend on behalf of selected advertisers as required by certain media before running their advertising campaigns, which are paid to media pursuant to the terms of the framework agreements and contracts.

In the event that the advertisers or their advertising agencies on behalf of their advertising clients (collectively the “advertisers”) commit to spending a guaranteed minimum amount on a particular media with the Company, the Company enters into a back-to-back framework agreement with the relevant publishers committing the same level of guaranteed minimum spend and securing a preferential rebate policy applicable to the advertising spend of that advertiser. With the committed minimum spend, the Company is entitled to enjoy certain rebates and discounts and usually be required to pay a deposit of up to 10% of the guaranteed minimum spend. If the Company fails to fulfil the committed minimum spend, the Company would not be entitled to the additional rebates and discounts, and any deposit that has been paid may be forfeited or deducted to pay up the additional amount without the benefit of the additional rebates and discounts.

The media may deduct damages from performance security deposit if the Company has breached the agency agreement or authorized agency management rules and conditions formulated by media.

As of December 31, 2022 and 2021, the balances of media deposits paid to third parties were $1,281,434 and $1,244,704, respectively. As of December 31, 2022 and 2021, the balances of media deposits paid to a related party were $104,390 and $1,426,419, respectively.

Operating leases

The Company leases its offices, which are classified as operating leases in accordance with Topic 842. Under Topic 842, lessees are required to recognize the following for all leases (with the exception of short-term leases) on the commencement date: (i) lease liability, which is a lessee’s obligation to make lease payments arising from a lease, measured on a discounted basis; and (ii) right-of-use asset, which is an asset that represents the lessee’s right to use, or control the use of, a specified asset for the lease term.

2.SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (CONTINUED)

At the commencement date, the Company recognizes the lease liability at the present value of the lease payments not yet paid, discounted using the interest rate implicit in the lease or, if that rate cannot be readily determined, the Company’s incremental borrowing rate for the same term as the underlying lease. The right-of-use asset is recognized initially at cost, which primarily comprises the initial amount of the lease liability, plus any initial direct costs incurred, consisting mainly of brokerage commissions, less any lease incentives received. All right-of-use assets are reviewed for impairment. There was no impairment for right-of-use lease assets as of December 31, 2022 and 2021.

Property and equipment, net

Property and equipment primarily consist of property, leasehold improvement, office equipment and electronic equipment, which is stated at cost less accumulated depreciation and impairment losses. Depreciation is provided using the straight-line method based on the estimated useful life. The useful lives of property and equipment as follows:


Property		20 years
Office equipment		5 years
Electronic equipment		3 years
Vehicle		4 years
Leasehold improvement		Shorter of useful life or lease term

Expenditures for repairs and maintenance, which do not materially extend the useful lives of the assets, are expensed as incurred. Expenditures for major renewals and betterments which substantially extend the useful life of assets are capitalized. The cost and related accumulated depreciation of assets disposed of or retired are removed from the accounts, and any resulting gain or loss is reflected in the consolidated statement of income and other comprehensive income in other income or expenses.

Intangible assets, net

Purchased intangible assets primarily consist of copyrights and software, which are recognized and measured at fair value upon acquisition. Separately identifiable intangible assets that have determinable lives continue to be amortized over their estimated useful lives using the straight-line method based on their estimated useful lives as. The estimated useful lives of copyrights and software range from 3 to 10 years.

Long-term investment

The Company elects to record the equity investment in a privately held company, over which the Company had no control or significant influence, using the measurement alternative at cost, less impairment, with subsequent adjustments for observable price changes resulting from orderly transactions for identical or similar investments of the same issuer. Suh equity investment accounted for using the measurement alternative is subject to periodic impairment review. The Company’s impairment analysis considers both qualitative and quantitative factors that may have a significant effect on the fair value of the equity investment. As of December 31, 2022 and 2021, the Company did not record impairment loss against the long-term investment.

Impairment of long-lived assets

The Company reviews long-lived assets for impairment whenever events or changes in circumstances indicate that the carrying amount of an asset may not be recoverable. Recoverability of assets to be held and used is measured by a comparison of the carrying amount of an asset to the future undiscounted net cash flows expected to be generated by the asset. If such assets are considered to be impaired, the impairment recognized is measured by the amount by which the carrying amount of the assets exceeds the fair value of the assets. Impairment of $nil, $434,878, and $nil was recognized on property and equipment for the years ended December 31, 2022, 2021 and 2020, respectively.

Advertiser deposits

The advertiser deposits represented deposits made by the advertisers who undertake a minimum total advertising spend as a condition for enjoying rebates and discounts. The Company generally requires these advertisers to place deposits with the Company at a percentage (usually up to 10%) of the committed spend, which usually equals to the amount of deposit payable to the media under the corresponding framework agreement with the media specific to such advertiser (see note 2 – media deposits). If the advertiser fails to reach the committed minimum spend upon expiry or termination of the framework agreement; (i) the advertiser would not be entitled to the rebates and discounts under the preferential pricing policy, if any; (ii) the advertiser’s deposit may be forfeited or deducted to pay up the additional amount it should pay without the benefits of rebates or discounts.

As of December 31, 2022 and 2021, the balances of advertiser deposits were $541,444 and $916,531, respectively.

Warrant Liabilities

The Company evaluates the stock purchase warrants under Accounting Standards Codification (“ASC”) 815-40, Derivatives and Hedging—Contracts in Entity’s Own Equity. Warrants recorded as liabilities are recorded at their fair value and remeasured on each reporting date with change in estimated fair value of common stock warrant liability in the consolidated statement of operations.

Revenue recognition

The Company early adopted ASC 606, Revenue from Contracts with Customers (“ASC 606”) on January 1, 2018, using the modified retrospective approach for contracts that were not completed as of December 31, 2017. ASC 606 establishes principles for reporting information about the nature, amount, timing and uncertainty of revenue and cash flows arising from the entity’s contracts to provide goods or services to customers. The core principle requires an entity to recognize revenue to depict the transfer of goods or services to customers in an amount that reflects the consideration that it expects to be entitled to receive in exchange for those goods or services recognized as performance obligations are satisfied. In according with ASC 606, revenues are recognized when control of the promised services is transferred to customers, in an amount that reflects the consideration the Company expects to be entitled to in exchange for those services.

The Company identified each distinct service, or each series of distinct services that are substantially the same and that have the same pattern of transfer to the customer, as a performance obligation. Transaction price is allocated among different performance obligations identified in one contract, by using expected cost plus margin approach, if the standalone selling price of each performance obligation is not observable.

The Company applied a practical expedient to expense costs as incurred for costs to obtain a contract with a customer when the amortization period would have been one year or less. The Company has no material incremental costs of obtaining contracts with customers that the Company expects the benefit of those costs to be longer than one year, which need to be recognized as assets.

The Company has advertising agency revenues from search engine marketing (‘SEM”, a form of online marketing that involves the promotion of websites by increasing their visibility in search engine results pages and search-related products and services) services and non-SEM services, including deployment of in-feed and mobile app ads on other media and social media marketing services in relation to running advertising campaigns on selected social media accounts. The Company acts as an agent between media or their authorized agencies (collectively “publishers”) and advertisers by helping publishers procure advertisers and facilitate ad deployment on their advertising channels, and purchasing ad inventories and advertising services from publishers for advertisers. The Company places orders with publishers as per request from advertisers. Each order is materialized by a contract and explicitly quotes one agency service to arrange for the advertising service to be provided by a third party publisher for a period of ad term. The Company provides advices and services on advertising strategies and ad optimization to advertisers to improve the effectiveness of their ads, all of which are highly interrelated and not separately identifiable. The Company’s overall promise represents a combined output that is a single performance obligation; there is no multiple performance obligations.

2.SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (CONTINUED)

The Company evaluated its advertising agency contracts and determined that it was not acting as principal in these arrangements with publishers and advertisers since it never takes control of the ad inventories at any time. The Company collects the costs of purchasing ad inventories and advertising services from advertisers on behalf of publishers. The Company generates advertising agency revenues either by charging additional fees to advertisers or receiving rebates and incentives offered by publishers. Accordingly, both advertisers and publishers can be identified as customers, depending on the revenue model applicable to the relevant services.

The Company recognizes revenues on a net basis, which equal to: (i) rebates and incentives offered by publishers, netting the rebates to advertises (if any); and (ii) net fees from advertisers.

Rebates and incentives offered by publishers

Rebates and incentives offered by publishers are determined based on the contract terms with publishers and their applicable rebate policies, which typically in the form of across-the-board standard-rate rebates, differential standard-rate rebates and progressive-rate rebates. Rebates and incentives offered by publishers are accounted for as variable consideration. The Company accrues and recognizes revenues in the form of rebates and incentives based on its evaluation as to whether the contractually stipulated thresholds of advertising spend are likely to being reached, or other benchmarks or certain prescribed classification are likely to being qualified (e.g. the number of new advertisers secured, growth in actual advertising spend), and to the extent that a significant reversal of cumulative revenue would not occur in future periods. These evaluations are based on the past experience and regularly monitoring of various performance factors set within the rebate policies (e.g. accumulated advertising spend, number of new advertisers). At the end of each subsequent reporting period, the Company re-evaluates the probability of achieving such advertising spend volume and any related constraint, and if necessary, adjusts the estimate of the amount of rebates and incentives. Any such adjustments are recorded on a cumulative catch-up basis, which would affect revenues and earnings in the period of adjustment. The rebates and incentives are generally ascertained and settled on a quarterly or annual basis. Historically, adjustments to the estimations for the actual amounts have been immaterial. These rebates and incentives take the form of cash which, when paid, are applied to set off accounts payable with the relevant publishers or settled separately; or can be in the form of ad currency units which will be deposited in the account in the back-end platform of the media, and can then be utilized to acquire their ad inventory.

The Company may offer rebates to advertisers on a case by case basis, generally with reference to the rebates and incentives offered by publishers, the advertiser’s committed total spend, and the business relationships with such advertiser. The rebates offered by the Company to advertisers are in the form of cash discounts or ad currency units that can be utilized to acquire ad inventory from relevant media, both of which are account for as a deduction of revenues.

Net fees from advertisers

Net fees from advertisers are the difference between the gross billing amount charged to the advertisers and the costs of purchasing ad inventories and advertising services on their behalf.

The publishers do not receive the benefits from the Company’s facilitation services until the publishers deliver advertising services to the advertisers. The Company recognizes advertising agency revenues when it transfers the control of the facilitation service commitments, i.e., when the publishers deliver advertising services to the advertisers. Under the CPC and CPA pricing model of media, the Company recognizes revenues at the point of time as the publishers deliver advertising services at the point in time. Under the CPT pricing model of media, the publishers deliver advertising services over time when the advertising links are displayed over the contract periods, and therefore the Company recognizes revenue on a straight-line basis over the contracted display period. During the years ended December 31, 2022, 2021 and 2020, revenues from the advertising services under CPT pricing model that the Company arranged are immaterial.

The Company records revenues and costs on a net basis and the related accounts receivable and payable amounts on a gross basis.

2.SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (CONTINUED)

The gross billing amounts charged to the advertisers are collected either in advance to provision of services or after the services. Accounts receivable represent the gross billing charged to advertisers that the Company has an unconditional right to consideration (including billed and unbilled amount) when the Company has satisfied its performance obligation. Payment terms and conditions of accounts receivables vary by customers, and terms typically include a requirement for payment within a period from three to six months. The Company has determined that all the contracts generally do not include a significant financing component. The Company does not have any contract assets since revenue is recognized when control of the promised services is transferred and the payment from customers is not contingent on a future event. In cases where the gross billing amounts are collected in advance, the amounts are recorded as “advance from advertisers” in the consolidated balance sheets. Advance from advertisers related to unsatisfied performance obligations at the end of the year is recognized as revenue when the Company delivers the services to its advertisers. The fees are non-refundable. In cases where amounts are collected after the services, accounts receivable are recognized upon delivery of ad inventories and advertising services to the advertisers. The gross billing amounts are determinable at the inception of the services.

The cost of purchasing ad inventories and advertising services are recorded as accounts payable or a deduction against prepayments in cases where prepayments are required by the publishers.

The following table identifies the disaggregation of our revenue for the years ended December 31, 2022, 2021 and 2020, respectively.


	For the Years Ended
	December 31,
	2022		2021		2020
Nature of Revenue:
Rebates and incentives offered by publishers	$	1,930,188	$	3,663,168	$	9,430,758
Net fees from advertisers		484,910		248,392		2,480,471
Total	$	2,415,098	$	3,911,560	$	11,911,229

Category of Revenue:
SEM services	$	321,363	$	2,449,120	$	8,165,614
Non-SEM services		2,093,735		1,462,440		3,745,615
Total	$	2,415,098	$	3,911,560	$	11,911,229

Value added taxes

The Company’s PRC subsidiaries are subject to value added tax (“VAT”) and related surcharges based on gross service price depending on the type of services provided in the PRC (“output VAT”), and the VAT may be offset by VAT paid by the Company on service purchases (“input VAT”). The applicable rate of output VAT or input VAT for the Company is 6%. Gross billing charged to advertisers, which is reflected as accounts receivable on gross basis in the consolidated balance sheet, is subject to output VAT at a rate of 6% and subsequently paid to PRC tax authorities after netting input VAT on purchases incurred during the period. The Company’s revenues are presented net of costs of purchasing ad inventories and services paid on behalf of advertisers, VAT collected on behalf of PRC tax authorities and its related surcharges; the VAT is not included in the consolidated statements of income and comprehensive income.

Cost of revenues

Cost of revenues related to advertising agency is primarily personnel related costs and business taxes. These costs are expensed as incurred.

Income Taxes

The Company accounts for income taxes in accordance with the U.S. GAAP for income taxes. Under the asset and liability method as required by this accounting standard, the recognition of deferred income tax liabilities and assets for the expected future tax consequences of temporary differences between the income tax basis and financial reporting basis of assets and liabilities. Provision for income taxes consists of taxes currently due plus deferred taxes.

2.SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (CONTINUED)

The charge for taxation is based on the results for the year as adjusted for items which are non-assessable or disallowed. It is calculated using tax rates that have been enacted or substantively enacted by the balance sheet date.

Deferred tax is accounted for using the balance sheet liability method in respect of temporary differences arising from differences between the carrying amount of assets and liabilities in the financial statements and the corresponding tax basis. Deferred tax assets are recognized to the extent that it is probable that taxable income to be utilized with prior net operating loss carried forwards. Deferred tax is calculated using tax rates that are expected to apply to the period when the asset is realized or the liability is settled. Deferred tax is charged or credited in the income statement, except when it is related to items credited or charged directly to equity. Deferred tax assets are reduced by a valuation allowance when, in the opinion of management, it is more likely than not that some portion or all of the deferred tax assets will not be realized. Current income taxes are provided for in accordance with the laws of the relevant taxing authorities.

An uncertain tax position is recognized as a benefit only if it is “more likely than not” that the tax position would be sustained in a tax examination, with a tax examination being presumed to occur. The amount recognized is the largest amount of tax benefit that is greater than 50% likely of being realized on examination. Penalties and interest incurred related to underpayment of income tax are classified as income tax expense in the period incurred. The Company does not believe that there was any uncertain tax position as of December 31, 2022 and 2021. As of December 31, 2022, income tax returns for the tax years ended December 31, 2017 through December 31, 2021 remain open for statutory examination.

(Loss) Earnings per share

Basic (loss) earnings per ordinary share is computed by dividing net (loss) income attributable to ordinary shareholders by the weighted-average number of ordinary shares outstanding during the period. Diluted (loss) earnings per share is computed by dividing net income attributable to ordinary shareholders by the sum of the weighted average number of ordinary share outstanding and of potential ordinary share (e.g., convertible securities, options and warrants) as if they had been converted at the beginning of the periods presented, or issuance date, if later. Potential ordinary share that have an anti-dilutive effect (i.e., those that increase income per share or decrease loss per share) are excluded from the calculation of diluted (loss) earnings per share. For the years ended December 31, 2022, 2021 and 2020, the Company had no dilutive shares.

Foreign currency translation

The reporting currency of the Company is U.S. dollars (“US$”) and the accompanying consolidated financial statements have been expressed in US$. Since the Company operates primarily in the PRC, the Company’s functional currency is the Chinese Yuan (“RMB”). The Company’s consolidated financial statements have been translated into the reporting currency U.S. Dollars (“US$” or “$”). Assets and liabilities of the Company are translated at the exchange rate at each reporting period end date. Equity is translated at historical rates. Income and expense accounts are translated at the average rate of exchange during the reporting period. Because cash flows are translated based on the average translation rate, amounts related to assets and liabilities reported on the statement of cash flows will not necessarily agree with changes in the corresponding balances on the balance sheet. The resulting translation adjustments are reported under other comprehensive income (loss). Gains and losses resulting from the translations of foreign currency transactions and balances are reflected in the results of operations.

The following table outlines the currency exchange rates that were used in creating the consolidated financial statements in this report:


	December 31,	December 31,
	2022	2021
Year-end spot rate	6.8972	6.3726

Fair value of financial instruments

Fair value is defined as the price that would be received to sell an asset or paid to transfer a liability in an orderly transaction between market participants at the measurement date. A three-level fair value hierarchy prioritizes the inputs used to measure fair value. The hierarchy requires entities to maximize the use of observable inputs and minimize the use of unobservable inputs. The three levels of the fair value hierarchy are described below:

Level 1 – inputs to the valuation methodology are quoted prices (unadjusted) for identical assets or liabilities in active markets.

Level 2 – inputs to the valuation methodology include quoted prices for similar assets and liabilities in active markets, and inputs that are observable for the assets or liability, either directly or indirectly, for substantially the full term of the financial instruments.

Level 3 – inputs to the valuation methodology are unobservable and significant to the fair value.

Financial instruments of the Company primarily comprised current assets and current liabilities including cash and cash equivalents, restricted cash, short-term investments, accounts receivable, third party and related party media deposits, other receivables, accounts payables, advertiser deposits, dividend payable, tax payable, other payables, due to related parties and warrant liabilities.

Fair value of investment in trading securities and US Treasury Bills are based on quoted prices in active markets, and were categorized in Level 1 of the fair value hierarchy.

Warrant liabilities were measured at fair value using unobservable inputs and categorized in Level 3 of the fair value hierarchy. See Note 12.

As of December 31, 2022 and 2021, the carrying values of other financial instruments approximated to their fair values because of the short-term nature of these instruments.

Concentration and credit risk

Substantially all of the Company’s operating activities are transacted into RMB, which is not freely convertible into foreign currencies. All foreign exchange transactions take place either through the People’s Bank of China or other banks authorized to buy and sell foreign currencies at the exchange rates quoted by the People’s Bank of China. Approval of foreign currency payments by the People’s Bank of China or other regulatory institutions require submitting a payment application form together with suppliers’ invoices, shipping documents and signed contracts.

The Company maintains certain bank accounts in the PRC, Hong Kong and Cayman Islands, which are not insured by Federal Deposit Insurance Corporation (“FDIC”) insurance or other insurance. As of December 31, 2022 and 2021, $5,921,461 and $1,934,708 of the Company’s cash were on deposit at financial institutions in the PRC, respectively, where there currently is no rule or regulation requiring such financial institutions to maintain insurance to cover bank deposits in the event of bank failure.

Accounts receivable are typically unsecured and derived from services rendered to advertisers that are located primarily in China, thereby exposed to credit risk. The risk is mitigated by the Company’s assessment of advertisers’ creditworthiness and its ongoing monitoring of outstanding balances. The Company has a concentration of its receivables with specific advertisers. As of December 31, 2022, three advertisers accounted for 18.1%, 14.4% and 13.2% of accounts receivable, respectively. As of December 31, 2021, two advertisers accounted for 17.4% and 12.6% of accounts receivable, respectively.

For the year ended December 31, 2022, three publishers accounted for approximately 36.8%, 13.3% and 10.7% of the total revenue, respectively. For the year ended December 31, 2021, three publishers accounted for approximately 41.8%, 28.1% and 16.5% of the total revenue, respectively. For the year ended December 31, 2020, two publishers accounted for approximately 68.9% and 12.8% of the total revenue, respectively.

As of December 31, 2022, two publishers accounted for 43.5% and 27.7% of the total accounts payable balance, respectively. As of December 31, 2021, three publishers accounted for 36.2%, 13.6% and 10.2% of the total accounts payable balance, respectively.

Recently issued accounting pronouncements

In June 2016, the FASB issued ASU No. 2016-13, “Measurement of Credit Losses on Financial Instruments (Topic 326)”, which significantly changes the way entities recognize impairment of many financial assets by requiring immediate recognition of estimated credit losses expected to occur over their remaining life, instead of when incurred. In November 2018, the FASB issued ASU No. 2018-19, “Codification Improvements to Topic 326, Financial Instruments—Credit Losses”, which amends Subtopic 326-20 (created by ASU No.2016-13) to explicitly state that operating lease receivables are not in the scope of Subtopic 326-20. Additionally, in April 2019, the FASB issued ASU No.2019-04, “Codification Improvements to Topic 326, Financial Instruments—Credit Losses, Topic 815, Derivatives and Hedging, and Topic 825, Financial Instruments”, in May 2019, the FASB issued ASU No. 2019-05, “Financial Instruments—Credit Losses (Topic 326): Targeted Transition Relief”, and in November 2019, the FASB issued ASU No. 2019-10, “Financial Instruments—Credit Losses (Topic 326), Derivatives and Hedging (Topic 815), and Leases (Topic 842): Effective Dates”, and ASU No. 2019-11, “Codification Improvements to Topic 326, Financial Instruments—Credit Losses”, to provide further clarifications on certain aspects of ASU No. 2016-13 and to extend the nonpublic entity effective date of ASU No. 2016-13. The changes (as amended) are effective for the Company for annual and interim periods in fiscal years beginning after December 15, 2022. The Company does not expect any material impact on its consolidated financial statements as a result of adopting the new standard.

The Company does not believe other recently issued but not yet effective accounting standards, if currently adopted, would have a material effect on the consolidated financial position, statements of operations and cash flows.

OPERATING LEASE (Tables)

12 Months Ended

Dec. 31, 2022

OPERATING LEASE

Summary of operating lease related assets and liabilities recorded on the balance sheets


	December 31,		December 31,
	2022		2021
Rights of use lease assets	$	—	$	1,195,092

Operating lease liabilities, current		—		515,592
Operating lease liabilities, noncurrent		—		537,447
Total operating lease liabilities	$	—	$	1,053,039

Summary of weighted average remaining lease terms and discount rates for all of operating leases


	December 31,		December 31,
	2022		2021
Remaining lease term and discount rate
Weighted average remaining lease term (years)	1.26		2.25
Weighted average discount rate	4.75	%	4.75	%

ORGANIZATION AND BUSINESS DESCRIPTION (Details)	May 24, 2023 USD ($)	Mar. 21, 2023 USD ($) $ / shares shares	May 24, 2022 USD ($)	May 11, 2022 $ / shares	Jul. 06, 2019 $ / shares shares	Jun. 30, 2018 USD ($)	Jun. 30, 2018 CNY (¥)	Oct. 17, 2014 USD ($) subsidiary	May 23, 2023 USD ($)	Mar. 20, 2023 USD ($) $ / shares	Mar. 06, 2023 USD ($) $ / shares shares	Mar. 05, 2023 USD ($) $ / shares shares	Dec. 31, 2022 $ / shares shares	May 25, 2022 USD ($) $ / shares shares	May 23, 2022 USD ($)	Dec. 31, 2021 $ / shares shares	Dec. 31, 2020 $ / shares shares	Jul. 06, 2020 $ / shares shares	Dec. 31, 2019 $ / shares shares	Jul. 05, 2019 $ / shares shares	Jun. 04, 2019	Jan. 07, 2019	Dec. 14, 2018	Dec. 04, 2018 $ / shares shares	Oct. 17, 2014 CNY (¥)
ORGANIZATION AND BUSINESS DESCRIPTION
Share consolidation ratio	3.2	6	3.2	3.2	20
Common stock, par value per share \| $ / shares		$ 0.0016		$ 0.0005	$ 0.0005					$ 0.0096	$ 0.0016	$ 0.0016	$ 0.0096	$ 0.0016		$ 0.0096	$ 0.0005	$ 0.0005	$ 0.0005	$ 0.01				$ 0.0096
Authorized capital \| $	$ 60,000	$ 60,000	$ 60,000						$ 50,000	$ 50,000	$ 60,000	$ 50,000		$ 50,000	$ 50,000
Common stock, shares authorized \| shares		6,250,000									37,500,000	31,250,000	6,250,000	31,250,000		6,250,000	100,000,000	100,000,000	100,000,000	5,000,000				6,250,000
Ordinary shares, shares issued \| shares					2,040								1,534,487			1,534,487	20,400,000	20,400,000		102
Common stock, shares outstanding \| shares													1,534,487			1,534,487	20,400,000	20,400,000	20,400,000
Beijing Baosheng Technology Company Limited [Member]
ORGANIZATION AND BUSINESS DESCRIPTION
Consideration for equity transfer						$ 13,844,895	¥ 94,045,600
2022 Share Consolidation
ORGANIZATION AND BUSINESS DESCRIPTION
Share consolidation ratio		0.17		0.17
Common stock, par value per share \| $ / shares				$ 0.0016
2023 Share Consolidation
ORGANIZATION AND BUSINESS DESCRIPTION
Share consolidation ratio		1
Common stock, par value per share \| $ / shares		$ 0.0096
Baosheng BVI
ORGANIZATION AND BUSINESS DESCRIPTION
Ownership interest held																							100.00%
Baosheng HK
ORGANIZATION AND BUSINESS DESCRIPTION
Ownership interest held																						100.00%
Beijing Baosheng Technology Company Limited [Member]
ORGANIZATION AND BUSINESS DESCRIPTION
Ownership interest held																					100.00%
Registered capital								$ 289,540																	¥ 2,000,000
Number of wholly-owned subsidiaries \| subsidiary								3

CONDENSED FINANCIAL INFORMATION OF THE PARENT COMPANY ONLY (Tables) - Parent Company

12 Months Ended

Dec. 31, 2022

Condensed balance sheets


	December 31,		December 31,
	2022		2021
ASSETS
Current Assets
Cash and cash equivalents	$	378,987	$	1,607,807
Due from related parties		57,661		28,667
Other current assets		—		24,902
Total Current Assets		407,654		1,661,376

Investments in subsidiaries		5,526,988		28,517,348
Amounts due from subsidiaries		39,515,899		43,908,651
Total Assets	$	45,479,535	$	74,087,375

LIABILITIES AND SHAREHOLDERS’ EQUITY
Current Liabilities
Due to related parties	$	8,170	$	8,170
Warrant liabilities		2,744		2,744
Accrued expenses and other liabilities		31,996		15,172
Total Liabilities		42,910		26,086

Commitments and Contingencies

Shareholders’ Equity
Ordinary Share (par value $0.0096 per share, 6,250,000 shares authorized; 1,534,487 shares issued and outstanding at December 31, 2022 and 2021, respectively)*		14,731		17,556
Additional paid-in capital		41,564,418		41,561,593
Retained earnings		6,155,760		29,894,597
Accumulated other comprehensive (loss) income		(2,298,284)		2,587,543
Total Shareholders’ Equity		45,436,625		74,061,289

Total Liabilities and Shareholders’ Equity	$	45,479,535	$	74,087,375

Condensed statements of comprehensive (loss) income


	For the Years Ended
	December 31,
	2022		2021		2020
Revenues	$	—	$	—	$	—
Cost of revenues		—		—		—
Gross profit		—		—		—

Operating Expenses
General and administrative expenses		(769,017)		(787,744)		(3,197)

Loss from Operations		(769,017)		(787,744)		(3,197)

Equity in (loss) gain of subsidiaries	$	(22,990,360)	$	(8,327,398)	$	6,947,862
Interest income		837		57		26
Changes in fair value of warrant liabilities		19,703		2,367,632		—
Net (Loss) Income Before Income Taxes	$	(23,738,837)	$	(6,747,453)	$	6,944,691

Income tax expense		—		—		—

Net (Loss) Income	$	(23,738,837)	$	(6,747,453)	$	6,944,691

Other Comprehensive (Loss) Income
Foreign currency translation adjustment		(4,885,827)		1,393,597		2,531,676
Comprehensive (Loss) Income	$	(28,624,664)	$	(5,353,856)	$	9,476,367

Condensed statements of cash flows


	For the Years Ended
	December 31,
	2022		2021		2020
Cash Flows from Operating Activities:
Net Cash (Used in) Provided by Operating Activities	$	(706,913)	$	(824,929)	$	26

Cash Flows from Investing Activities:
Loans made to subsidiaries		(500,000)		(38,300,000)		—
Net Cash Used in Investing Activities		(500,000)		(38,300,000)		—

Cash Flows from Financing Activities:
Capital injection from shareholders		—		—		—
Issuance of ordinary shares pursuant to initial public offering, net of issuance costs		—		26,597,919		—
Issuance of ordinary shares pursuant to over-allotment, net of issuance costs		—		4,154,987		—
Issuance of units pursuant to a private placement, net of issuance costs		—		9,852,486		—
Net Cash Provided by Financing Activities		—		40,605,392		—

Effect of exchange rate changes on cash and cash equivalents		(21,907)		127,317		—

Net increase in cash and cash equivalents		(1,228,820)		1,607,780		26
Cash and cash equivalents at beginning of year		1,607,807		27		1
Cash and cash equivalents at end of year	$	378,987	$	1,607,807	$	27

INCOME TAXES - Income tax expenses (Details)	12 Months Ended
INCOME TAXES - Income tax expenses (Details)	Dec. 31, 2020 USD ($)
Components of income tax expense
Deferred income tax expense	$ 108,638
Income tax expense	$ 108,638

- Definition

Amount of current income tax expense (benefit) and deferred income tax expense (benefit) pertaining to continuing operations.

+ References + Details

SUBSEQUENT EVENTS (Details) - Guangzhou Shanxingzhe Technology Investment Partnership Co., Ltd. $ in Thousands, ¥ in Millions	Nov. 19, 2022 CNY (¥)	Feb. 27, 2023 USD ($)	Feb. 27, 2023 CNY (¥)	Nov. 19, 2022 USD ($)	Nov. 19, 2022 CNY (¥)
Subsequent Event [Line Items]
Investment owned, at cost				$ 2,900	¥ 20
Consideration for equity transfer	¥ 20
Equity interests				28.57%	28.57%
Subsequent Event [Member]
Subsequent Event [Line Items]
Investment owned, at cost		$ 1,450	¥ 10

Document and Entity Information - shares	12 Months Ended
Document and Entity Information - shares	Dec. 31, 2022	Dec. 31, 2021
Document and Entity Information
Document Type	20-F
Document Registration Statement	false
Document Annual Report	true
Document Transition Report	false
Document Shell Company Report	false
Document Period End Date	Dec. 31, 2022
Entity File Number	001-39977
Entity Registrant Name	Baosheng Media Group Holdings Ltd
Entity Incorporation, State or Country Code	E9
Entity Address, Address Line One	East Floor 5
Entity Address, Adress Line Two	Building No. 8, Xishanhui
Entity Address, Address Line Three	Shijingshan District
Entity Address, City or Town	Beijing
Entity Address, Postal Zip Code	100041
Entity Address, Country	CN
Title of 12(b) Security	Ordinary Shares, par value $0.0096 per share
Trading Symbol	BAOS
Security Exchange Name	NASDAQ
Entity Well-known Seasoned Issuer	No
Entity Voluntary Filers	No
Entity Current Reporting Status	No
Entity Interactive Data Current	Yes
Entity Filer Category	Non-accelerated Filer
Entity Emerging Growth Company	true
Entity Ex Transition Period	false
ICFR Auditor Attestation Flag	false
Document Accounting Standard	U.S. GAAP
Entity Shell Company	false
Entity Common Stock, Shares Outstanding	9,146,812
Entity Central Index Key	0001811216
Current Fiscal Year End Date	--12-31
Document Fiscal Year Focus	2022
Document Fiscal Period Focus	FY
Amendment Flag	false
Auditor Name	YCM CPA, Inc.	Friedman LLP
Auditor Location	Irvine, California	New York, New York
Auditor Firm ID	6781	711
Business Contact
Document and Entity Information
Contact Personnel Name	Shasha Mi,
Entity Address, Address Line One	East Floor 5
Entity Address, Adress Line Two	Building No. 8, Xishanhui
Entity Address, Address Line Three	Shijingshan District
Entity Address, City or Town	Beijing
Entity Address, Postal Zip Code	100041
Entity Address, Country	CN
City Area Code	86
Local Phone Number	010-82088021

CONSOLIDATED STATEMENTS OF OPERATIONS AND COMPREHENSIVE (LOSS) INCOME - USD ($)	12 Months Ended
	Dec. 31, 2022	Dec. 31, 2021	Dec. 31, 2020
CONSOLIDATED STATEMENTS OF OPERATIONS AND COMPREHENSIVE (LOSS) INCOME
Revenues	$ 2,415,098	$ 3,911,560	$ 11,911,229
Cost of revenues	(2,446,941)	(2,077,516)	(1,256,353)
Gross (loss) profit	(31,843)	1,834,044	10,654,876
Operating Expenses
Selling and marketing expenses	(764,258)	(1,086,078)	(947,834)
General and administrative expenses	(2,811,215)	(2,856,789)	(2,103,263)
Provision for doubtful accounts	(20,460,667)	(6,880,008)	(1,960,604)
Impairment of property and equipment		(434,878)
Total Operating Expenses	(24,036,140)	(11,257,753)	(5,011,701)
(Loss) Income from Operations	(24,067,983)	(9,423,709)	5,643,175
Other Income (Expenses)
Interest income (expense), net	16,397	(57,109)	(183,896)
Changes in fair value of warrant liabilities	1,912	2,367,632
Subsidy income	3,089	574,878	955,439
Other income (expenses), net	307,748	(209,145)	638,611
Total Other Income, Net	329,146	2,676,256	1,410,154
(Loss) Income Before Income Taxes	(23,738,837)	(6,747,453)	7,053,329
Income tax benefit			(108,638)
Net (Loss) Income	(23,738,837)	(6,747,453)	6,944,691
Other Comprehensive (Loss) Income
Foreign currency translation adjustment	(4,885,827)	1,393,597	2,531,676
Comprehensive (Loss) Income	$ (28,624,664)	$ (5,353,856)	$ 9,476,367
Weighted average number of ordinary share outstanding
Weighted average number of ordinary share outstanding, Basic	1,534,487	1,459,390	1,062,502
Weighted average number of ordinary share outstanding, Diluted	1,534,487	1,459,390	1,062,502
(Loss) Earnings per share
(Loss) Earnings per share, Basic	$ (15.47)	$ (4.62)	$ 6.54
(Loss) Earnings per share, Diluted	$ (15.47)	$ (4.62)	$ 6.54

INCOME TAXES - Reconciliation of the statutory tax rate (Details) - USD ($)	12 Months Ended
	Dec. 31, 2022	Dec. 31, 2021	Dec. 31, 2020
Reconciliation of the statutory tax rate to the effective tax rate
PRC statutory income tax rate	25.00%	25.00%	25.00%
Impact of different income tax rates in other jurisdictions	(0.80%)	5.90%	1.40%
Effect of preferential tax rate	(18.00%)	(23.60%)	(38.10%)
Effect of non-deductible expenses	(0.20%)	(0.70%)	7.90%
Effect of change in valuation allowance	(6.00%)	(6.60%)	5.40%
Effective tax rate	0.00%	0.00%	1.60%
PRC
Reconciliation of the statutory tax rate to the effective tax rate
PRC statutory income tax rate	25.00%
Tax saving as the result of favorable tax rate	$ 0	$ 0	$ 2,686,911
Per share effect of the favorable tax rate	$ 0	$ 0	$ 2.53
PRC \| Horgos Baosheng Advertising Co. Ltd [Member]
Reconciliation of the statutory tax rate to the effective tax rate
PRC statutory income tax rate	25.00%
Preferential income tax rate	0.00%
PRC \| Kashi Baosheng Information Technology Co. Ltd [Member]
Reconciliation of the statutory tax rate to the effective tax rate
Preferential income tax rate	0.00%
PRC \| Baosheng Technology
Reconciliation of the statutory tax rate to the effective tax rate
Preferential income tax rate	0.00%

ACCOUNTS RECEIVABLE, NET - Movement of allowance for doubtful accounts (Details) - USD ($)	12 Months Ended
	Dec. 31, 2022	Dec. 31, 2021	Dec. 31, 2020
Movement of allowance for doubtful accounts
Balance at beginning of the year	$ 6,426,781	$ 4,702,394
Charge to expenses	19,276,587	4,155,246	$ 1,960,604
Writing off of accounts receivable	(7,239,204)	(2,562,857)
Foreign exchange loss	(782,372)	131,998
Balance at end of the year	$ 17,681,792	$ 6,426,781	$ 4,702,394

CONTINGENCIES - Beijing Baosheng (Details) - Beijing Baosheng									1 Months Ended
	Mar. 07, 2022 USD ($)	Mar. 07, 2022 CNY (¥)	Feb. 08, 2022 USD ($)	Feb. 08, 2022 CNY (¥)	Jul. 30, 2021 USD ($)	Jul. 30, 2021 CNY (¥)	Apr. 16, 2019	Mar. 17, 2016	Jun. 30, 2019 USD ($)	Jun. 30, 2019 CNY (¥)	Jul. 30, 2021 CNY (¥)
CONTINGENCIES
Amount of damages					$ 1,685,321	¥ 10,739,877
Court expenses					11,207	¥ 71,421
Amount withdrawn			$ 1,713,225	¥ 10,917,701
Amount of proceeds received from related parties	$ 1,734,604	¥ 11,053,940
Equity Ownership Dispute
CONTINGENCIES
Equity interest under litigation							5.00%	5.00%	5.00%	5.00%
Contractual Dispute
CONTINGENCIES
Amount of damages									$ 6,838,404	¥ 47,650,000
Loss contingencies, amount accrued					$ 1,685,321						¥ 10,739,877

OPERATING LEASE - Weighted average remaining lease terms and discount rates (Details) - USD ($)	12 Months Ended
	Dec. 31, 2022	Dec. 31, 2021	Dec. 31, 2020
OPERATING LEASE
Weighted average remaining lease term (years)	1 year 3 months 3 days	2 years 3 months
Weighted average discount rate	4.75%	4.75%
Total operating lease expenses	$ 545,491	$ 612,868	$ 350,344

SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (Tables)

12 Months Ended

Dec. 31, 2022

SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES

Summary of useful lives of property and equipment


Property		20 years
Office equipment		5 years
Electronic equipment		3 years
Vehicle		4 years
Leasehold improvement		Shorter of useful life or lease term

Summary of disaggregation of revenue


	For the Years Ended
	December 31,
	2022		2021		2020
Nature of Revenue:
Rebates and incentives offered by publishers	$	1,930,188	$	3,663,168	$	9,430,758
Net fees from advertisers		484,910		248,392		2,480,471
Total	$	2,415,098	$	3,911,560	$	11,911,229

Category of Revenue:
SEM services	$	321,363	$	2,449,120	$	8,165,614
Non-SEM services		2,093,735		1,462,440		3,745,615
Total	$	2,415,098	$	3,911,560	$	11,911,229

Summary of currency exchange rates


	December 31,	December 31,
	2022	2021
Year-end spot rate	6.8972	6.3726

GOING CONCERN (Details) - USD ($)	12 Months Ended
GOING CONCERN (Details) - USD ($)	Dec. 31, 2022	Dec. 31, 2021	Dec. 31, 2020
GOING CONCERN
Net (Loss) Income	$ (23,738,837)	$ (6,747,453)	$ 6,944,691
Reported cash	1,601,481
Cash flow from operating activity	1,601,481	(31,213,199)	(3,393,204)
Cash and cash equivalents	6,679,077	$ 4,751,538	$ 6,576,658
Short-term investments	3,082,990
Current liabilities	$ 11,860,919
Bank borrowings term	1 year

- Definition

The portion of profit or loss for the period, net of income taxes, which is attributable to the parent.

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Reference 27: http://www.xbrl.org/2003/role/disclosureRef
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+ Details

INCOME TAXES (Tables)

12 Months Ended

Dec. 31, 2022

INCOME TAXES

Summary of income tax expense


	For the Years Ended
	December 31,
	2022		2021		2020
Current income tax expense	$	—	$	—	$	—
Deferred income tax expense		—		—		108,638
Income tax expense	$	—	$	—	$	108,638

Summary of reconciliation of the statutory tax rate to the effective tax rate


	For the Years Ended
	December 31,
	2022		2021		2020
PRC statutory income tax rate	25	%	25	%	25	%
Impact of different income tax rates in other jurisdictions	(0.8)	%	5.9	%	1.4	%
Effect of preferential tax rate(a)	(18.0)	%	(23.6)	%	(38.1)	%
Effect of non-deductible expenses	(0.2)	%	(0.7)	%	7.9	%
Effect of change in valuation allowance	(6.0)	%	(6.6)	%	5.4	%
Effective tax rate	0.0	%	0.0	%	1.6	%

(a)

The Company’s subsidiaries, Horgos Baosheng, Kashi Baosheng and Baosheng Technology are subject to a favorable tax rate of 0%. For the years ended December 31, 2022, 2021, and 2020, the tax saving as the result of the favorable tax rate amounted to $nil, $nil, and $2,686,911, respectively, and per share effect of the favorable tax rate (after share reorganization) were $nil, $nil, and $2.53.

Summary of deferred tax assets


	December 31,		December 31,
	2022		2021
Deferred tax assets:
Net operating losses carryforwards	$	1,190,713	$	1,465,593

Allowance for doubtful accounts of accounts receivable		27,745		65,526
Allowance for doubtful accounts of prepayments		70,207		114,293
Allowance for doubtful accounts of other current assets		1,717		1,858
Less: allowance on deferred tax assets		(1,290,381)		(1,647,270)
	$	—	$	—

OPERATING LEASE (Details)	Dec. 31, 2022	Dec. 31, 2021
Non-cancelable operating lease, one
OPERATING LEASE
Lease term	3 years	3 years

INCOME TAXES - Additional details (Details) - USD ($)	Dec. 31, 2022	Dec. 31, 2021
Valuation Allowance [Line Items]
Valuation allowance	$ 1,290,381	$ 1,647,270
Net operating losses carryforwards
Valuation Allowance [Line Items]
Valuation allowance	$ 1,290,381	$ 1,647,270

PROPERTY AND EQUIPMENT, NET

12 Months Ended

Dec. 31, 2022

PROPERTY AND EQUIPMENT, NET

PROPERTY AND EQUIPMENT, NET

7.PROPERTY AND EQUIPMENT, NET

Property and equipment, net consisted of the following:


	December 31,		December 31,
	2022		2021
Property	$	2,016,287	$	858,858
Leasehold improvement		367,235		283,607
Office equipment		161,997		173,355
Vehicles		144,986		—
Electronic equipment		133,850		377,162
Less: accumulated depreciation		(473,027)		(314,525)
	$	2,351,328	$	1,378,457

Depreciation expense was $211,213, $210,208, and $236,059 for the years ended December 31, 2022, 2021, and 2020, respectively. During the year ended December 31, 2021, the Company recognized impairment loss of $434,878 on electronic equipment.

During the year ended December 31, 2022, the Company disposed of electronic equipment at consideration of $222,916, and recorded loss from disposal of property and equipment of $1,275. On the date of disposal, the cost and accumulated depreciation of electronic equipment was $217,341 and $23,637, respectively.

During the year ended December 31, 2021, the Company disposed of leasehold improvement, office equipment and electronic equipment, and recorded loss from disposal of property and equipment of $14,810. On the date of disposal, the cost and accumulated depreciation of leasehold improvement was $382,909 and $382,909, respectively, the cost and accumulated depreciation of office equipment was $27,071 and $13,436, respectively, and the cost and accumulated depreciation of office equipment was $27,156 and $25,798, respectively.

PROPERTY AND EQUIPMENT, NET (Details) - USD ($)	12 Months Ended
PROPERTY AND EQUIPMENT, NET (Details) - USD ($)	Dec. 31, 2022	Dec. 31, 2021	Dec. 31, 2020
Property and equipment, net
Less: accumulated depreciation	$ (473,027)	$ (314,525)
Property and equipment, net	2,351,328	1,378,457
Depreciation expense	211,213	210,208	$ 236,059
Recognized impairment loss	0	434,878	$ 0
Property
Property and equipment, net
Property and equipment, gross	2,016,287	858,858
Leasehold improvements
Property and equipment, net
Property and equipment, gross	367,235	283,607
Office equipment
Property and equipment, net
Property and equipment, gross	161,997	173,355
Vehicle
Property and equipment, net
Property and equipment, gross	144,986
Electronic equipment
Property and equipment, net
Property and equipment, gross	133,850	377,162
Less: accumulated depreciation	$ (23,637)
Recognized impairment loss		$ 434,878

OPERATING LEASE - Operating lease related assets and liabilities (Details)	Dec. 31, 2021 USD ($)
Operating lease related assets and liabilities recorded on the balance sheets
Rights of use lease assets	$ 1,195,092
Operating lease liabilities, current	515,592
Operating lease liabilities, noncurrent	537,447
Total operating lease liabilities	$ 1,053,039

RELATED PARTY TRANSACTIONS AND BALANCES

12 Months Ended

Dec. 31, 2022

RELATED PARTY TRANSACTIONS AND BALANCES

16.RELATED PARTY TRANSACTIONS AND BALANCES

1)Nature of relationships with related parties


Name		Relationship with the Company
EJAM GROUP Co., Ltd. (“EJAM Group”)		Indirectly hold a 6.8% equity interest in the Company
Pubang Landscape Architecture (HK) Company Limited (“Pubang Hong Kong”)		Indirectly hold a 20.4% equity interest in the Company
Horgos Zhijiantiancheng		Controlled by EJAM Group
Guangzhou Yijiantiancheng Technology Co., Ltd. (“Guangzhou Yijiantiancheng”)		Controlled by EJAM Group
Horgos Meitui Network Technology Co., Ltd. (“Horgos Meitui”)		Controlled by EJAM Group, and was disposed of by EJAM Group on March 24, 2020
Ms. Wenxiu Zhong		Former Chairperson of the Board of Directors, CEO and indirect equity shareholder of the Company
Anruitai Investment Limited (“Anruitai”)		90% owned by Ms. Wenxiu Zhong and 10% owned by Mr. Sheng Gong, the Director and indirect equity shareholder of the Company

2)Transactions with related parties


	For the Years Ended
	December 31,
	2022		2021		2020
Gross billing from a related party
Horgos Zhijiantiancheng	$	—	$	83,909	$	—
Guangzhou Yijiantiancheng		—		8,743		—
	$	—	$	92,652	$	—
Services purchased from related parties
Horgos Zhijiantiancheng	$	4,464,919	$	11,298,397	$	—

3)Balances with related parties

As of December 31, 2022 and 2021, the balances due from related parties were as follows:


	December 31,		December 31,
	2022		2021
Media deposits
Horgos Zhijiantiancheng (a)	$	104,390	$	1,426,419

Prepayments
Horgos Zhijiantiancheng (a)	$	3,314,744	$	2,361,779

Due from related parties
Ms. Wenxiu Zhong (b)	$	—	$	1,720,102
Anruitai Investment Limited		28,667		28,667
	$	28,667	$	1,748,769

(c)	Horgos Zhijiantiancheng is both a media and advertiser with the Company. For the years ended December 31, 2022 and 2021, the Company provided services to Horgos Zhijiantiancheng and paid media deposits with Horgos Zhijiantiancheng.

16.RELATED PARTY TRANSACTIONS AND BALANCES (CONTINUED)

(d)

As of December 31, 2021, the Company had amount due from Ms. Wenxiu Zhong of $1,734,604 with the amount due to Ms. Wenxiu Zhong of $14,502 being net off on the consolidated balance sheet. In connection with the lawsuit case filed by Ms. Chen Chen in June 2019 (Note 17), Ms. Wenxiu Zhong promised to unconditionally, irrevocably and personally bear all the potential economic expenses and losses arising from the Equity Ownership Dispute and the Contract Dispute. On February 8, 2022, the final judgment was enforced by the court with a total of RMB10,917,701 (approximately $1,713,225) applied to the satisfaction of such judgment and the payment in full of the related fees and expenses. Accordingly, Beijing Baosheng requested Ms. Wenxiu Zhong to perform her obligations under the Guarantee Letter by reimbursing Beijing Baosheng’s litigation costs, including, but not limited to, the amount of damages imposed by the courts, court expenses, and attorney fees. As of December 31, 2021, the Company recorded a receivable of RMB11,053,940, ($1,734,604) due from Ms. Wenxiu Zhong. As of March 7, 2022, Ms. Wenxiu Zhong has fully settled such balance by making cash payments in aggregate amount of RMB11,053,940 ($1,734,604).

As of December 31, 2021 and 2020, the balances due to related parties were as follows:


	December 31,		December 31,
	2022		2021
Other payable
Wenxiu Zhong	$	14,499	$	—
	$	14,499	$	—

EQUITY - Restricted net assets (Details) ¥ in Millions		12 Months Ended
EQUITY - Restricted net assets (Details) ¥ in Millions	Jul. 25, 2019 CNY (¥)	Dec. 31, 2022 USD ($)	Dec. 31, 2021 USD ($)
EQUITY
Statutory reserve		$ 898,133	$ 898,133
Retained earnings		5,257,627	$ 28,996,464
Beijing Baosheng
EQUITY
Litigation contractual disputes \| ¥	¥ 47.7
Percentage of equity interest frozen	100.00%
Horgos Baosheng
EQUITY
Retained earnings		$ 33,718,654
Percentage of equity interest frozen		100.00%	100.00%
Kashi Baosheng
EQUITY
Retained earnings			$ 63,209,808

EQUITY

12 Months Ended

Dec. 31, 2022

EQUITY

EQUITY

15.EQUITY

Ordinary shares

The Company’s authorized share capital is 6,250,000 ordinary shares, par value $0.0096 per share.

On July 6, 2020, the Company’s shareholders and Board of Directors approved: (i) an increase of the authorized ordinary shares from 5,000,000 shares of a nominal or par value of US$0.01 to 100,000,000 shares of a nominal or par value of US$0.0005, (ii) a 20-for-1 stock split to sub-divide the original 102 shares of issued ordinary shares in the capital of the Company into 2,040 shares of ordinary shares, and (iii) the issuance of an aggregated 20,397,960 shares of ordinary shares, at par value of$0.0005, to all existing shareholders on a pro rata basis. No cash or other consideration was paid for the issuance of 20,397,960 ordinary shares. All the existing shareholders and directors of the Company consider this stock issuance was part of the Company’s reorganization to result in 20,400,000 ordinary shares issued and outstanding prior to completion of this offering and similar to stock split. The Company believes it is appropriate to reflect stock split on a retroactive basis pursuant to ASC 260. The Company has retroactively restated all shares and per share data for all periods presented. As a result, the Company had 100,000,000 authorized shares, par value of US$0.0005, of which 20,400,000 and 20,400,000 were issued and outstanding as of December 31, 2020 and 2019, respectively.

On February 10, 2021, the Company closed its initial public offering (“IPO”) of 6,000,000 ordinary shares at a public offering price of US$5.00 per ordinary share. On March 2, 2021, Univest Securities, LLC, the representative of the underwriters in the IPO exercised in full its option to purchase an additional 900,000 ordinary shares at a price of $5.00. Gross proceeds of the Company’s IPO, including the proceeds from the sale of the over-allotment shares, totaled $34.5 million, before deducting underwriting discounts and other related expenses.

On March 18, 2021, the Company entered into a securities purchase agreement (the “Securities Purchase Agreement”) with two investors, including a wholly-owned subsidiary of Ebang International Holdings Inc. (Nasdaq: EBON) for an investment of US$10 million. Pursuant to the Securities Purchase Agreement and an exemption from registration requirements of Section 5 of the Securities Act of 1933, as amended (the “Securities Act”) contained in Regulation S promulgated under the Securities Act, the Company issued an aggregate of 1,960,784 units to the investors, with each unit consisting of one ordinary share of the Company, par value $0.0005 per share (the “Ordinary Shares”) and a warrant to purchase one half of one Ordinary Share at an exercise price of $5.61 per Ordinary Share (subject to adjustment).

15.EQUITY (CONTINUED)

On May 11, 2022, the Board of Directors resolved to approve a share consolidation at a ratio of one-for-three and one fifth (3.2) ordinary shares with a par value of US$0.0005 each in the Company’s issued and unissued share capital into one ordinary share with a par value of US$0.0016 (“2022 Share Consolidation”), for which the Company obtained shareholder approval on April 28, 2023. Immediately following the 2022 Share Consolidation, the authorized share capital of the Company will be US$50,000 divided into 31,250,000 ordinary shares of a par value US$0.0016 each. The 2022 Share Consolidation became effective on May 24, 2022.

On March 6, 2023, the Company effected an increase in authorized share capital from US$50,000 divided into 31,250,000 ordinary shares of a par value US$0.0016 each to US$60,000 divided into 37,500,000 ordinary shares of a par value US$0.0016 each (the “Increase in Share Capital”), and on March 21, 2023, the Company effected a share consolidation at a ratio of one-for-six, such that each (6) ordinary shares with a par value of US$0.0016 each in the Company’s issued and unissued share capital were consolidated into one ordinary share with a par value of US$0.0096 (“2023 Share Consolidation”). Immediately following the Increase in Share Capital and 2023 Share Consolidation, the authorized share capital of the Company will be increased from US$50,000 to US$60,000, divided into 6,250,000 ordinary shares of a par value US$0.0096 each. The Company believes it is appropriate to reflect the Increase in Share Capital, 2022 Share Consolidation and 2023 Share Consolidation on a retroactive basis pursuant to ASC 260. The Company has retroactively restated all shares and per share data for all periods presented. As a result, the Company had 6,250,000 authorized shares, par value of US$0.0096, of which 1,534,487 shares of ordinary shares were issued and outstanding as of December 31, 2022 and 2021, respectively.

Cash dividends

On December 31, 2018, the Company’s Board of Directors approved a resolution to declare cash dividends of $7,269,978 (RMB 50,000,000) to its shareholders.

During the year ended December 31, 2022, 2021 and 2020, the Company paid dividends of $1,188,884, $2,170,273, and $nil to its shareholders. As of December 31, 2022 and 2021, the Company had dividends payable of $nil and $1,255,375 (RMB 8,000,000), respectively.

Restricted net assets

The Company’s ability to pay dividends is primarily dependent on the Company receiving distributions of funds from its subsidiaries. Relevant PRC statutory laws and regulations permit payments of dividends by the Company’s PRC subsidiaries only out of their respective retained earnings, if any, as determined in accordance with PRC accounting standards and regulations and after they have met the PRC requirements for appropriation to statutory reserves. Paid in capital of the PRC subsidiaries included in the Company’s consolidated net assets are also non-distributable for dividend purposes. The results of operations reflected in the accompanying consolidated financial statements prepared in accordance with U.S. GAAP differ from those reflected in the statutory financial statements of the Company’s PRC subsidiaries. The Company is required to set aside at least 10% of their after-tax profits each year, if any, to fund certain statutory reserve funds until such reserve funds reach 50% of its registered capital. In addition, the Company may allocate a portion of its after-tax profits based on PRC accounting standards to enterprise expansion fund and staff bonus and welfare fund at its discretion. The statutory reserve funds and the discretionary funds are not distributable as cash dividends.

As of December 31, 2022 and 2021, the Company’s PRC profit generating subsidiaries accrued statutory reserve funds of $898,133, respectively.

In the litigation process of a Contractual Dispute (see Note 17 Contingencies), pursuant to a freezing order issued by the court (the “Freezing Order”), Beijing Baosheng’s assets in the amount of RMB47.7 million were ordered to be frozen, including 100% of the equity interests in Horgos Baosheng and Kashi Baosheng. In addition to the above mentioned restricted on the paid-in capital and statutory reserve funds of PRC subsidiaries, the retained earnings of Horgos Baosheng and Kashi Baosheng were also restricted from payment of dividends before December 31, 2022.

As of December 31, 2022, the Company had net assets restricted in the aggregate, which include paid-in capital and statutory reserve of the Company’s PRC subsidiaries of $33,718,654.

As of December 31, 2021, the Company had net assets restricted in the aggregate, which include paid-in capital and statutory reserve of the Company’s PRC subsidiaries, and retained earnings of Horgos Baosheng and Kashi Baosheng, of $63,209,808.

- Definition

The entire disclosure for shareholders' equity comprised of portions attributable to the parent entity and noncontrolling interest, including other comprehensive income. Includes, but is not limited to, balances of common stock, preferred stock, additional paid-in capital, other capital and retained earnings, accumulated balance for each classification of other comprehensive income and amount of comprehensive income.

+ References

Reference 1: http://fasb.org/us-gaap/role/ref/legacyRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 505
-URI https://asc.fasb.org/topic&trid=2208762

Reference 2: http://www.xbrl.org/2003/role/disclosureRef
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-Name Accounting Standards Codification
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Reference 3: http://www.xbrl.org/2003/role/disclosureRef
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+ Details

RELATED PARTY TRANSACTIONS AND BALANCES (Tables)

12 Months Ended

Dec. 31, 2022

Schedule of nature of relationships with related parties


Name		Relationship with the Company
EJAM GROUP Co., Ltd. (“EJAM Group”)		Indirectly hold a 6.8% equity interest in the Company
Pubang Landscape Architecture (HK) Company Limited (“Pubang Hong Kong”)		Indirectly hold a 20.4% equity interest in the Company
Horgos Zhijiantiancheng		Controlled by EJAM Group
Guangzhou Yijiantiancheng Technology Co., Ltd. (“Guangzhou Yijiantiancheng”)		Controlled by EJAM Group
Horgos Meitui Network Technology Co., Ltd. (“Horgos Meitui”)		Controlled by EJAM Group, and was disposed of by EJAM Group on March 24, 2020
Ms. Wenxiu Zhong		Former Chairperson of the Board of Directors, CEO and indirect equity shareholder of the Company
Anruitai Investment Limited (“Anruitai”)		90% owned by Ms. Wenxiu Zhong and 10% owned by Mr. Sheng Gong, the Director and indirect equity shareholder of the Company

Schedule of transactions with related parties


	For the Years Ended
	December 31,
	2022		2021		2020
Gross billing from a related party
Horgos Zhijiantiancheng	$	—	$	83,909	$	—
Guangzhou Yijiantiancheng		—		8,743		—
	$	—	$	92,652	$	—
Services purchased from related parties
Horgos Zhijiantiancheng	$	4,464,919	$	11,298,397	$	—

Schedule of balances due from related parties


	December 31,		December 31,
	2022		2021
Media deposits
Horgos Zhijiantiancheng (a)	$	104,390	$	1,426,419

Prepayments
Horgos Zhijiantiancheng (a)	$	3,314,744	$	2,361,779

Due from related parties
Ms. Wenxiu Zhong (b)	$	—	$	1,720,102
Anruitai Investment Limited		28,667		28,667
	$	28,667	$	1,748,769

(c)	Horgos Zhijiantiancheng is both a media and advertiser with the Company. For the years ended December 31, 2022 and 2021, the Company provided services to Horgos Zhijiantiancheng and paid media deposits with Horgos Zhijiantiancheng.

(d)

Schedule of balances due to related parties


	December 31,		December 31,
	2022		2021
Other payable
Wenxiu Zhong	$	14,499	$	—
	$	14,499	$	—

PREPAYMENTS - THIRD PARTIES - Movement of allowance for doubtful prepayments (Details) - USD ($)	12 Months Ended
	Dec. 31, 2022	Dec. 31, 2021
PREPAYMENTS - THIRD PARTIES
Balance at beginning of the year	$ 2,701,166
Charge to expenses	1,196,563	$ 2,668,421
Writing off of accounts receivable	(1,547,445)
Foreign exchange (loss) income	(196,894)	32,745
Balance at end of the year	$ 2,153,390	$ 2,701,166

PREPAYMENTS FOR LICENSED COPYRIGHTS

12 Months Ended

Dec. 31, 2022

PREPAYMENTS FOR LICENSED COPYRIGHTS

PREPAYMENTS FOR LICENSED COPYRIGHTS

9.PREPAYMENTS FOR LICENSED COPYRIGHTS

Prepayments for licensed copyrights consisted of the following:


	December 31,		December 31,
	2022		2021
Prepayments for licensed copyrights	$	2,735,592	$	2,960,789

During the year ended December 31, 2021, the Company entered into two cooperation agreements with a third party entity, pursuant to which the Company will have the right to use the licensed copyrights of two games developed by such third party entity for a three-year term. During the year ended December 31, 2021, the Company made prepayments of $2,924,897. The two games are expected to have online tests in May 2023 and to be launched around November 2023.

As of December 31, 2022 and 2021, the change in balance of prepayments for licensed copyrights was caused by change in spot rates as of reporting dates.

INTANGIBLE ASSETS, NET

12 Months Ended

Dec. 31, 2022

INTANGIBLE ASSETS, NET

INTANGIBLE ASSETS, NET

8.INTANGIBLE ASSETS, NET

Intangible assets consisted of the following:


	December 31,		December 31,
	2022		2021
Copyrights	$	752,288	$	814,217
Software		43,954		84,082
Less: accumulated amortization		(238,016)		(122,696)
	$	558,226	$	775,603

Amortization expense was $175,807, $76,666, and $212,976 for the years ended December 31, 2022, 2021, and 2020, respectively.

CONSOLIDATED STATEMENTS OF CHANGES IN SHAREHOLDERS' EQUITY (Parenthetical)	May 24, 2023	Mar. 21, 2023	May 24, 2022	May 11, 2022	Jul. 06, 2019
CONSOLIDATED STATEMENTS OF CHANGES IN SHAREHOLDERS' EQUITY
Share consolidation ratio	3.2	6	3.2	3.2	20

ACCOUNTS RECEIVABLE, NET (Tables)

12 Months Ended

Dec. 31, 2022

ACCOUNTS RECEIVABLE, NET

schedule of accounts receivable, net of provision for doubtful accounts


	December 31,		December 31,
	2022		2021
Accounts receivable	$	47,783,610	$	62,789,964
Less: provision for doubtful accounts		(17,681,792)		(6,426,781)
Accounts receivable, net of provision for doubtful accounts	$	32,101,818	$	56,363,183

Schedule of movement of allowance for doubtful accounts


	December 31,		December 31,
	2022		2021
Balance at beginning of the year	$	6,426,781	$	4,702,394
Charge to expenses		19,276,587		4,155,246
Writing off of accounts receivable		(7,239,204)		(2,562,857)
Foreign exchange loss		(782,372)		131,998
Balance at end of the year	$	17,681,792	$	6,426,781

PROPERTY AND EQUIPMENT, NET - Additional Information (Details) - USD ($)	12 Months Ended
	Dec. 31, 2022	Dec. 31, 2021
PROPERTY AND EQUIPMENT, NET
Loss from disposal of property and equipment	$ (1,275)	$ (14,810)
Proceeds from disposal of property and equipment	222,916
Accumulated depreciation	473,027	314,525
Electronic equipment
PROPERTY AND EQUIPMENT, NET
Cost of office equipment	217,341
Cost of electronic equipment		27,156
Accumulated depreciation of electronic equipment		25,798
Proceeds from disposal of property and equipment	222,916
Loss from disposal	1,275
Cost	133,850	377,162
Accumulated depreciation	23,637
Leasehold improvements
PROPERTY AND EQUIPMENT, NET
Cost of leasehold improvement		382,909
Accumulated depreciation of leasehold improvement		382,909
Cost	367,235	283,607
Office equipment
PROPERTY AND EQUIPMENT, NET
Cost of office equipment		27,071
Accumulated depreciation of office equipment		13,436
Cost	$ 161,997	$ 173,355

PROPERTY AND EQUIPMENT, NET (Tables)

12 Months Ended

Dec. 31, 2022

PROPERTY AND EQUIPMENT, NET

Summary of property and equipment, net


	December 31,		December 31,
	2022		2021
Property	$	2,016,287	$	858,858
Leasehold improvement		367,235		283,607
Office equipment		161,997		173,355
Vehicles		144,986		—
Electronic equipment		133,850		377,162
Less: accumulated depreciation		(473,027)		(314,525)
	$	2,351,328	$	1,378,457

BANK BORROWING (Details)	Dec. 31, 2022 USD ($)
BANK BORROWING
Bank borrowings	$ 1,449,864

BANK BORROWING - Additional information (Details)						12 Months Ended
BANK BORROWING - Additional information (Details)	Mar. 05, 2021 USD ($)	Mar. 05, 2021 CNY (¥)	Apr. 01, 2020 USD ($)	Apr. 01, 2020 CNY (¥)	Mar. 24, 2020 USD ($)	Dec. 31, 2022 USD ($)	Dec. 31, 2021 USD ($)	Dec. 31, 2020 USD ($)	Dec. 22, 2022 USD ($)	Dec. 22, 2022 CNY (¥)	Apr. 01, 2020 CNY (¥)	Mar. 24, 2020 CNY (¥)
BANK BORROWING
Term of credit facility						1 year
Amount drawn						$ 1,486,105	$ 7,750,977	$ 1,448,394
Bank borrowing						$ 1,449,864
Bank borrowings term						1 year
Bank of Communications \| Credit facility agreement
BANK BORROWING
Term of credit facility					2 years
Maximum borrowing capacity					$ 1,448,394							¥ 10,000,000
Amount drawn	$ 7,750,977	¥ 50,000,000	$ 1,448,394	¥ 10,000,000
Fixed interest rate	3.85%	3.85%			4.785%
Bank borrowing			$ 1,532,567								¥ 10,000,000
Interest expense arising from the bank borrowing						$ 0	$ 88,518	$ 50,824
Bank borrowings term					2 years
Bank of Communications \| Credit facility agreement \| Asset Pledged as Collateral with Right [Member]
BANK BORROWING
Accounts receivable pledged as the collateral					$ 14,852,115							¥ 105,000,000
Bank of Beijing \| Loan agreement
BANK BORROWING
Principal amount									$ 1,449,846	¥ 10,000,000
Fixed interest rate									3.65%	3.65%

PREPAYMENTS FOR LICENSED COPYRIGHTS (Tables)

12 Months Ended

Dec. 31, 2022

PREPAYMENTS FOR LICENSED COPYRIGHTS

Summary of prepayments for licensed copyrights


	December 31,		December 31,
	2022		2021
Prepayments for licensed copyrights	$	2,735,592	$	2,960,789

SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES

12 Months Ended

Dec. 31, 2022

SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES

SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES

2.SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES

Basis of Presentation and Principles of Consolidation

Use of estimates

Cash and cash equivalents

Restricted cash

Short-term investments

Short-term investments consist of US Treasury Bills and investments in trading securities.

2.SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (CONTINUED)

US Treasury Bills

Investments in trading securities

2.SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (CONTINUED)

Accounts receivable, net of provision for doubtful accounts

Prepayments

Media deposits

The media may deduct damages from performance security deposit if the Company has breached the agency agreement or authorized agency management rules and conditions formulated by media.

Operating leases

2.SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (CONTINUED)

Property and equipment, net


Property		20 years
Office equipment		5 years
Electronic equipment		3 years
Vehicle		4 years
Leasehold improvement		Shorter of useful life or lease term

Intangible assets, net

Long-term investment

Impairment of long-lived assets

2.SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (CONTINUED)

Advertiser deposits

As of December 31, 2022 and 2021, the balances of advertiser deposits were $541,444 and $916,531, respectively.

Warrant Liabilities

Revenue recognition

2.SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (CONTINUED)

The Company recognizes revenues on a net basis, which equal to: (i) rebates and incentives offered by publishers, netting the rebates to advertises (if any); and (ii) net fees from advertisers.

Rebates and incentives offered by publishers

Net fees from advertisers

Net fees from advertisers are the difference between the gross billing amount charged to the advertisers and the costs of purchasing ad inventories and advertising services on their behalf.

The Company records revenues and costs on a net basis and the related accounts receivable and payable amounts on a gross basis.

2.SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (CONTINUED)

The cost of purchasing ad inventories and advertising services are recorded as accounts payable or a deduction against prepayments in cases where prepayments are required by the publishers.

The following table identifies the disaggregation of our revenue for the years ended December 31, 2022, 2021 and 2020, respectively.


	For the Years Ended
	December 31,
	2022		2021		2020
Nature of Revenue:
Rebates and incentives offered by publishers	$	1,930,188	$	3,663,168	$	9,430,758
Net fees from advertisers		484,910		248,392		2,480,471
Total	$	2,415,098	$	3,911,560	$	11,911,229

Category of Revenue:
SEM services	$	321,363	$	2,449,120	$	8,165,614
Non-SEM services		2,093,735		1,462,440		3,745,615
Total	$	2,415,098	$	3,911,560	$	11,911,229

Value added taxes

Cost of revenues

Cost of revenues related to advertising agency is primarily personnel related costs and business taxes. These costs are expensed as incurred.

Income Taxes

2.SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (CONTINUED)

(Loss) Earnings per share

Foreign currency translation

The following table outlines the currency exchange rates that were used in creating the consolidated financial statements in this report:


	December 31,	December 31,
	2022	2021
Year-end spot rate	6.8972	6.3726

2.SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (CONTINUED)

Fair value of financial instruments

Level 1 – inputs to the valuation methodology are quoted prices (unadjusted) for identical assets or liabilities in active markets.

Level 3 – inputs to the valuation methodology are unobservable and significant to the fair value.

Fair value of investment in trading securities and US Treasury Bills are based on quoted prices in active markets, and were categorized in Level 1 of the fair value hierarchy.

Warrant liabilities were measured at fair value using unobservable inputs and categorized in Level 3 of the fair value hierarchy. See Note 12.

As of December 31, 2022 and 2021, the carrying values of other financial instruments approximated to their fair values because of the short-term nature of these instruments.

Concentration and credit risk

2.SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (CONTINUED)

Recently issued accounting pronouncements

RELATED PARTY TRANSACTIONS AND BALANCES - Balances with related parties (Details)			12 Months Ended
	Mar. 07, 2022 USD ($)	Mar. 07, 2022 CNY (¥)	Dec. 31, 2022 CNY (¥)	Dec. 31, 2021 USD ($)	Dec. 31, 2022 USD ($)	Feb. 08, 2022 USD ($)	Feb. 08, 2022 CNY (¥)
Related Party Transaction
Media deposits				$ 1,426,419	$ 104,390
Prepayments				2,361,779	3,314,744
Due to related parties				0	14,499
Amounts due from related parties				1,748,769	28,667
Horgos Zhijiantiancheng
Related Party Transaction
Media deposits				1,426,419	104,390
Prepayments				2,361,779	3,314,744
Ms. Wenxiu Zhong
Related Party Transaction
Due from related parties				1,720,102	1,734,604
Due to related party					14,502
Due to related parties					14,499
Amounts due from related parties						$ 1,713,225	¥ 10,917,701
Ms. Wenxiu Zhong \| Equity Ownership Dispute
Related Party Transaction
Amount of damages			¥ 11,053,940	1,734,604
Amount of proceeds received from related parties	$ 1,734,604	¥ 11,053,940
Anruitai
Related Party Transaction
Due from related parties				$ 28,667	$ 28,667

SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES - Value-added taxes (Details)	12 Months Ended
	Dec. 31, 2022 USD ($)	Dec. 31, 2021 USD ($)	Dec. 31, 2020 USD ($)
Value added taxes
Value-added taxes rate	6.00%
(Loss) Earnings per share
Dilutive stocks	$ 0	$ 0	$ 0
Foreign currency translation
Year-end spot rate	6.8972	6.3726
Average rate	6.7290	6.4508	6.9042

PREPAYMENTS - THIRD PARTIES (Details) - USD ($)	12 Months Ended
PREPAYMENTS - THIRD PARTIES (Details) - USD ($)	Dec. 31, 2022	Dec. 31, 2021	Dec. 31, 2020
PREPAYMENTS - THIRD PARTIES
Prepayments to third party medias	$ 2,957,346	$ 12,077,413
Less: provision for doubtful accounts	(2,153,390)	(2,701,166)
Total	803,956	9,376,247
Provision for doubtful accounts of prepayments	$ 1,196,563	$ 2,668,421	$ 0

SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES - Intangible assets, net (Details)	12 Months Ended
	Dec. 31, 2022
Software \| Minimum
SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES
Useful lives of intangible assets	3 years
Software \| Maximum
SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES
Useful lives of intangible assets	10 years
Copy rights \| Minimum
SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES
Useful lives of intangible assets	3 years
Copy rights \| Maximum
SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES
Useful lives of intangible assets	10 years

CONSOLIDATED STATEMENTS OF OPERATIONS AND COMPREHENSIVE (LOSS) INCOME (Parenthetical)	May 24, 2023	Mar. 21, 2023	May 24, 2022	May 11, 2022	Jul. 06, 2019
CONSOLIDATED STATEMENTS OF OPERATIONS AND COMPREHENSIVE (LOSS) INCOME
Share consolidation ratio	3.2	6	3.2	3.2	20

INCOME TAXES

12 Months Ended

Dec. 31, 2022

INCOME TAXES

INCOME TAXES

13.INCOME TAXES

Cayman Islands

Under the current and applicable laws of the Cayman Islands, the Company is not subject to tax on income or capital gain. Additionally, upon payments of dividends by the Company to its shareholders, no Cayman Islands withholding tax will be imposed.

British Virgin Islands

Under the current and applicable laws of BVI, Baosheng BVI is not subject to tax on income or capital gains.

Hong Kong

Baosheng HK is incorporated in Hong Kong and is subject to Hong Kong Profits Tax on the taxable income as reported in its statutory financial statements adjusted in accordance with relevant Hong Kong tax laws. The applicable tax rate for the first HKD$2 million of assessable profits is 8.25% and assessable profits above HKD$2 million will continue to be subject to the rate of 16.5% for corporations in Hong Kong, effective from the year of assessment 2018/2019. Before that, the applicable tax rate was 16.5% for corporations in Hong Kong. The Company did not make any provisions for Hong Kong profit tax as there were no assessable profits derived from or earned in Hong Kong since inception. Under Hong Kong tax laws, Baosheng HK is exempted from income tax on its foreign-derived income and there are no withholding taxes in Hong Kong on remittance of dividends.

PRC

Beijing Baosheng, Horgos Baosheng, Kashi Baosheng, Baosheng Technology, Baosheng Network and Beijing Xunhuo were incorporated in the PRC and are subject to PRC Enterprise Income Tax (“EIT”) on the taxable income in accordance with the relevant PRC income tax laws. On March 16, 2007, the National People’s Congress enacted a new enterprise income tax law, which took effect on January 1, 2008. The law applies a uniform 25% enterprise income tax rate to both foreign invested enterprises and domestic enterprises.

Horgos Baosheng, Kashi Baosheng, and Baosheng Technology are subject to a preferential income tax rate of 0% CIT for a period since generating revenues, as they were incorporated in the Horgos and Kashi Economic District, Xinjiang province. The five-year preferential income tax treatment ends on December 31, 2022 and December 31, 2025, respectively, for Kashi Baosheng and Baosheng Technology. Horgos Baosheng was entitled to the five-year preferential income tax treatment for ended on December 31, 2020 and is entitled to an extension of five-year preferential income tax treatment ended on December 31, 2025.

In addition, each of Beijing Baosheng and Horgos Baosheng have a branch in Beijing. The two branches are subject to an EIT of 25%.

Income tax expense consist of the following:


	For the Years Ended
	December 31,
	2022		2021		2020
Current income tax expense	$	—	$	—	$	—
Deferred income tax expense		—		—		108,638
Income tax expense	$	—	$	—	$	108,638

13.INCOME TAXES (CONTINUED)

Below is a reconciliation of the statutory tax rate to the effective tax rate:


	For the Years Ended
	December 31,
	2022		2021		2020
PRC statutory income tax rate	25	%	25	%	25	%
Impact of different income tax rates in other jurisdictions	(0.8)	%	5.9	%	1.4	%
Effect of preferential tax rate(a)	(18.0)	%	(23.6)	%	(38.1)	%
Effect of non-deductible expenses	(0.2)	%	(0.7)	%	7.9	%
Effect of change in valuation allowance	(6.0)	%	(6.6)	%	5.4	%
Effective tax rate	0.0	%	0.0	%	1.6	%

(a)

Deferred tax assets as of December 31, 2022 and 2021 consist of the following:


	December 31,		December 31,
	2022		2021
Deferred tax assets:
Net operating losses carryforwards	$	1,190,713	$	1,465,593

Allowance for doubtful accounts of accounts receivable		27,745		65,526
Allowance for doubtful accounts of prepayments		70,207		114,293
Allowance for doubtful accounts of other current assets		1,717		1,858
Less: allowance on deferred tax assets		(1,290,381)		(1,647,270)
	$	—	$	—

The Company evaluates its valuation allowance requirements at end of each reporting period by reviewing all available evidence, both positive and negative, and considering whether, based on the weight of that evidence, a valuation allowance is needed. When circumstances cause a change in management’s judgement about the realizability of deferred tax assets, the impact of the change on the valuation allowance is generally reflected in income from operations. The future realization of the tax benefit of an existing deductible temporary difference ultimately depends on the existence of sufficient taxable income of the appropriate character within the carryforward period available under applicable tax law.

As of December 31, 2022 and 2021, due to uncertainties surrounding future utilization on Beijing Baosheng, Baosheng Network, the Beijing branch of Horgos Baosheng and Baosheng HK, the Company accrued full valuation allowance of $1,290,381 and $1,647,270, respectively, against the deferred tax assets based upon management’s assessment as to their realization

- Definition

The entire disclosure for income taxes. Disclosures may include net deferred tax liability or asset recognized in an enterprise's statement of financial position, net change during the year in the total valuation allowance, approximate tax effect of each type of temporary difference and carryforward that gives rise to a significant portion of deferred tax liabilities and deferred tax assets, utilization of a tax carryback, and tax uncertainties information.

+ References

Reference 1: http://www.xbrl.org/2003/role/disclosureRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 740
-SubTopic 10
-Section 50
-Paragraph 21
-URI https://asc.fasb.org/extlink&oid=121826272&loc=d3e32857-109319

Reference 2: http://www.xbrl.org/2003/role/disclosureRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 740
-SubTopic 10
-Section S99
-Paragraph 2
-Subparagraph (SAB Topic 11.C)
-URI https://asc.fasb.org/extlink&oid=122134291&loc=d3e330215-122817

Reference 3: http://www.xbrl.org/2003/role/disclosureRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 740
-SubTopic 10
-Section 50
-Paragraph 17
-Subparagraph (b)
-URI https://asc.fasb.org/extlink&oid=121826272&loc=d3e32809-109319

Reference 4: http://www.xbrl.org/2003/role/disclosureRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 740
-SubTopic 10
-Section S99
-Paragraph 1
-Subparagraph (SAB TOPIC 6.I.5.Q1)
-URI https://asc.fasb.org/extlink&oid=122134291&loc=d3e330036-122817

Reference 5: http://www.xbrl.org/2003/role/disclosureRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 740
-SubTopic 10
-Section 50
-Paragraph 14
-URI https://asc.fasb.org/extlink&oid=121826272&loc=d3e32705-109319

Reference 6: http://www.xbrl.org/2003/role/disclosureRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 740
-SubTopic 270
-Section 50
-Paragraph 1
-URI https://asc.fasb.org/extlink&oid=6424409&loc=d3e44925-109338

Reference 7: http://www.xbrl.org/2003/role/disclosureRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 740
-URI https://asc.fasb.org/topic&trid=2144680

Reference 8: http://www.xbrl.org/2003/role/disclosureRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 740
-SubTopic 30
-Section 50
-Paragraph 2
-Subparagraph (a)
-URI https://asc.fasb.org/extlink&oid=6424122&loc=d3e41874-109331

Reference 9: http://www.xbrl.org/2003/role/disclosureRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 235
-SubTopic 10
-Section S99
-Paragraph 1
-Subparagraph (SX 210.4-08(h)(2))
-URI https://asc.fasb.org/extlink&oid=120395691&loc=d3e23780-122690

+ Details

PREPAYMENTS - THIRD PARTIES

12 Months Ended

Dec. 31, 2022

PREPAYMENTS - THIRD PARTIES

PREPAYMENTS - THIRD PARTIES

5.PREPAYMENTS – THIRD PARTIES

Prepayments – third parties consist of the following:


	December 31,		December 31,
	2022		2021
Prepayments to third party medias	$	2,957,346	$	12,077,413
Less: provision for doubtful accounts		(2,153,390)		(2,701,166)
	$	803,956	$	9,376,247

Provisions for doubtful accounts of prepayments were $1,196,563, $2,668,421, and $nil for the years ended December 31, 2022, 2021, and 2020, respectively. Movement of allowance for doubtful prepayments was as follows:


	December 31,		December 31,
	2022		2021
Balance at beginning of the year	$	2,701,166	$	—
Charge to expenses		1,196,563		2,668,421
Writing off of accounts receivable		(1,547,445)		—
Foreign exchange (loss) income		(196,894)		32,745
Balance at end of the year	$	2,153,390	$	2,701,166

CONTINGENCIES

12 Months Ended

Dec. 31, 2022

CONTINGENCIES

CONTINGENCIES

17.CONTINGENCIES

In the normal course of business, the Company is subject to loss contingencies, such as certain legal proceedings, claims and disputes. The Company records a liability for such loss contingencies when the likelihood of an unfavorable outcome is probable and the amount of loss can be reasonably estimated.

On March 14, 2023, Shenzhen Pusi Technology Co., Ltd. (“Shenzhen Pusi”) filed a lawsuit in a court in Shenzhen, Guangdong against Baosheng Network, requesting to be repaid service fee of $23,338 (RMB 160,965) and penalty expenses of $364. The services were rendered in the year of 2022. As of December 31, 2022, the Company recorded RMB 16,096,561 as a component of accounts payable. As of the date of this report, the case was still in progress.

In November 2022, Beijing Baosheng brought a breach of contract claim against Shanghai Yituo Information Technology Co., Ltd (“Yituo”) in the Shanghai Jinshan District People’s Court and sought recovery of RMB50,843.31 (approximately $7,383) and related liquidated damages. The court held the hearings on February 14, 2023 and March 27, 2023. The court entered a judgment on April 11, 2023, ruling in favor of Beijing Baosheng. The judgment was served to Beijing Baosheng on April 24, 2023, and will become final and binding on the parties if Yituo does not file any appeals against the judgement before May 9, 2023.

On April 16, 2019, Ms. Chen Chen filed a lawsuit in a court in Beijing against Beijing Baosheng, with Baosheng Hong Kong named as third party in the complaint, requesting to be recognized as a 5% equity interest holder in Beijing Baosheng pursuant to an equity ownership agreement Ms. Chen Chen previously entered into with Beijing Baosheng on March 17, 2016 (the “Equity Ownership Agreement”) (the “Equity Ownership Dispute”). Ms. Chen Chen claimed that she had satisfied the conditions set forth in the Equity Ownership Agreement and was accordingly entitled to the 5% equity interest in Beijing Baosheng. Ms. Chen Chen sought to be recognized as 5% equity interest holder in Beijing Baosheng and receive such equity interest, and to be compensated for litigation related expenses. On June 2, 2020, Ms. Chen Chen voluntarily filed a motion to withdraw this case. On June 16, 2020, the court granted the motion.

17.CONTINGENCIES (CONTINUED)

In addition, in June 2019, Ms. Chen Chen filed another lawsuit in a court in Beijing against Beijing Baosheng (the “Contractual Dispute”), seeking to terminate the Equity Ownership Agreement compensation in the amount of RMB47.65 million ($6,838,404), representing the fair market value of the 5% equity interest in Beijing Baosheng to which she claimed title, and for any litigation related expenses. On July 30, 2021, the court issued a judgment ruling that the Equity Ownership Agreement was terminated on October 16, 2020 and requiring Beijing Baosheng to compensate Ms. Chen Chen RMB). 10,739,877 (approximately $1,685,321). Both parties have appealed the ruling to an intermediate court. On January 12, 2022, Beijing Baosheng received a final judgment from the intermediate court, upholding the original judgment issued on July 30, 2021. According to the original judgment, Beijing Baosheng is required to pay the plaintiff RMB10,739,877 (approximately $1,685,321) and court expenses of RMB71,421 (approximately $11,207). Through a guarantee letter dated April 2, 2020 (the “Guarantee Letter”), Ms. Wenxiu Zhong, the former Chairperson of the Board of Directors and CEO, promised to unconditionally, irrevocably and personally bear all the potential economic expenses and losses arising from the Equity Ownership Dispute and the Contract Dispute. On February 8, 2022, the final judgment was enforced by the court with a total of RMB10,917,701 (approximately $1,713,225) being withdrawn from one of the frozen bank accounts of Beijing Baosheng, the bank account at Bank of Hangzhou, which was unfrozen afterwards, and which amount was applied to the satisfaction of such judgment and the payment in full of the related fees and expenses. Accordingly, Beijing Baosheng requested Ms. Wenxiu Zhong to perform her obligations under the Guarantee Letter by reimbursing Beijing Baosheng’s litigation costs, including, but not limited to, the amount of damages imposed by the courts, court expenses, and attorney fees. As of March 7, 2022, as promised by the Guarantee Letter, Ms. Wenxiu Zhong has made the payment in cash of RMB11,053,940 (approximately $1,734,604) to Beijing Baosheng. Such payment made by Ms. Wenxiu Zhong includes the amount paid to Ms. Chen Chen as ordered by the courts plus interest as well as the court expense, attorney fee, and court enforcement fee.

Further, Ms. Chen Chen filed a labor dispute case against Horgos Baosheng, Beijing Branch with the Beijing Shijingshan District Labor Dispute Arbitration Committee (the “Committee”) on the grounds that her previous employment with Horgos Baosheng, Beijing Branch was wrongfully terminated. Ms. Chen Chen sought compensation for her lost pay, lost benefits, and litigation related expenses, and award of punitive damages. The Committee issued a judgment on August 23, 2019, ruling in favor of Ms. Chen Chen and granted her damages in the sum of RMB424,161 (approximately $60,000). Horgos Baosheng, Beijing Branch appealed the case to a court in Beijing in December 2019. On April 23, 2020, the court issued a final judgment that upheld the previous ruling. As a result, the Company will compensate Ms. Chen Chen a total of RMB424,161 (approximately $60,000). As of December 31, 2019, the Company recorded RMB424,161 (approximately $60,873) as a component of accrued expenses and other liabilities related to litigation contingencies, respectively, which has been settled on May 28, 2020.

As of December 31, 2021, the 100% equity interests in Horgos Baosheng and Kashi Baosheng held by Beijing Baosheng, and the bank accounts of Beijing Baosheng with a total balance of $4,131,313 and $3,695,598, respectively, were frozen by Beijing Haidian Court. The frozen bank balance was reclassified as restricted cash as of December 31, 2021.

With the final judgement was enforced by the Court on February 8, 2022, the Freezing Order (including the freezing of Beijing Baosheng’s equity interests in Horgos Baosheng and Kashi Baosheng) was reversed and all of the impacted assets will be unfrozen, accordingly. As of December 31, 2022, all of Beijing Baosheng’s frozen accounts, together with Beijing Baosheng’s equity interests in Horgos Baosheng and Kashi Baosheng had been unfrozen.

As of this annual report, there is no other legal proceedings, claims and disputes that might cause the Company to be subject to loss contingencies.

RELATED PARTY TRANSACTIONS AND BALANCES - Transactions with related parties (Details) - USD ($)	12 Months Ended
	Dec. 31, 2022	Dec. 31, 2021
Service fees charged by related parties \| Horgos Zhijiantiancheng
Related Party Transaction
Transactions with related parties	$ 4,464,919	$ 11,298,397
Gross Billing From Related Parties
Related Party Transaction
Transactions with related parties		92,652
Gross Billing From Related Parties \| Horgos Zhijiantiancheng
Related Party Transaction
Transactions with related parties		83,909
Gross Billing From Related Parties \| Guangzhou Yijiantiancheng
Related Party Transaction
Transactions with related parties		$ 8,743

RELATED PARTY TRANSACTIONS AND BALANCES - Nature of relationships with related parties (Details)	Dec. 31, 2022
EJAM Group
Related Party Transaction
Ownership interest held	6.80%
Pubang Hong Kong
Related Party Transaction
Ownership interest held	20.40%
Anruitai \| Mr. Sheng Gong
Related Party Transaction
Ownership interest held	10.00%
Anruitai \| Ms. Wenxiu Zhong
Related Party Transaction
Ownership interest held	90.00%

EQUITY - Ordinary shares (Details) - $ / shares	Jul. 06, 2020	Jul. 06, 2019	Mar. 21, 2023	Mar. 20, 2023	Mar. 06, 2023	Mar. 05, 2023	Dec. 31, 2022	May 25, 2022	May 11, 2022	Dec. 31, 2021	Dec. 31, 2020	Dec. 31, 2019	Jul. 05, 2019	Dec. 04, 2018
EQUITY
Ordinary shares, shares authorized	100,000,000		6,250,000		37,500,000	31,250,000	6,250,000	31,250,000		6,250,000	100,000,000	100,000,000	5,000,000	6,250,000
Ordinary shares, par value	$ 0.0005	$ 0.0005	$ 0.0016	$ 0.0096	$ 0.0016	$ 0.0016	$ 0.0096	$ 0.0016	$ 0.0005	$ 0.0096	$ 0.0005	$ 0.0005	$ 0.01	$ 0.0096
Number of shares issued during period	20,397,960	20,397,960

SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES - Advertiser deposits (Details) - USD ($)	12 Months Ended
	Dec. 31, 2022	Dec. 31, 2021	Dec. 31, 2020
Impairment of long-lived assets
Impairment of long-lived assets	$ 0	$ 434,878	$ 0
SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES
Percentage of the committed spend	10.00%
Advertiser deposits	$ 541,444	$ 916,531

CONDENSED FINANCIAL INFORMATION OF THE PARENT COMPANY ONLY - Condensed statements of cash flows (Details) - USD ($)	12 Months Ended
	Dec. 31, 2022	Dec. 31, 2021	Dec. 31, 2020
Cash Flows from Operating Activities:
Net Cash (Used in) Provided by Operating Activities	$ 1,601,481	$ (31,213,199)	$ (3,393,204)
Cash Flows from Investing Activities:
Net Cash (Used in) Provided by Investing Activities	(3,777,782)	(6,414,339)	1,244,612
Cash Flows from Financing Activities:
Issuance of ordinary shares pursuant to initial public offering, net of issuance costs		26,507,760
Issuance of ordinary shares pursuant to over-allotment, net of issuance costs		4,154,987
Issuance of units pursuant to a private placement, net of issuance costs		9,852,486
Net Cash Provided by Financing Activities	295,765	36,085,744	772,373
Effect of exchange rate changes on cash and cash equivalents	(323,238)	152,389	631,527
Net (decrease) increase in cash, cash equivalents and restricted cash	(2,203,774)	(1,389,405)	(744,692)
Cash, cash equivalents and restricted cash at beginning of year	8,882,851	10,272,256	11,016,948
Cash, cash equivalents and restricted cash at end of year	6,679,077	8,882,851	10,272,256
Parent Company
Cash Flows from Operating Activities:
Net Cash (Used in) Provided by Operating Activities	(706,913)	(824,929)	26
Cash Flows from Investing Activities:
Loans made to subsidiaries	(500,000)	(38,300,000)
Net Cash (Used in) Provided by Investing Activities	(500,000)	(38,300,000)
Cash Flows from Financing Activities:
Issuance of ordinary shares pursuant to initial public offering, net of issuance costs		26,597,919
Issuance of ordinary shares pursuant to over-allotment, net of issuance costs		4,154,987
Issuance of units pursuant to a private placement, net of issuance costs		9,852,486
Net Cash Provided by Financing Activities		40,605,392
Effect of exchange rate changes on cash and cash equivalents	(21,907)	127,317
Net (decrease) increase in cash, cash equivalents and restricted cash	(1,228,820)	1,607,780	26
Cash, cash equivalents and restricted cash at beginning of year	1,607,807	27	1
Cash, cash equivalents and restricted cash at end of year	$ 378,987	$ 1,607,807	$ 27

CONTINGENCIES - Baosheng Network (Details)			1 Months Ended
CONTINGENCIES - Baosheng Network (Details)	Mar. 14, 2023 USD ($)	Mar. 14, 2023 CNY (¥)	Nov. 30, 2022 USD ($)	Nov. 30, 2022 CNY (¥)	Dec. 31, 2022 USD ($)	Dec. 31, 2022 CNY (¥)	Dec. 31, 2021 USD ($)
CONTINGENCIES
Accounts payable					$ 8,853,669		$ 12,161,957
Baosheng Network
CONTINGENCIES
Accounts payable \| ¥						¥ 16,096,561
Baosheng Network \| Subsequent event
CONTINGENCIES
Penalty amount	$ 364
Baosheng Network \| Service fee repayment \| Subsequent event
CONTINGENCIES
Service fee amount	$ 23,338	¥ 160,965
Yituo \| Breach of contract claim
CONTINGENCIES
Service fee amount			$ 7,383	¥ 50,843.31

CONDENSED FINANCIAL INFORMATION OF THE PARENT COMPANY ONLY - Condensed balance sheets (Details) - USD ($)	Dec. 31, 2022	Dec. 31, 2021	Dec. 31, 2020	Dec. 31, 2019
Current Assets
Cash and cash equivalents	$ 6,679,077	$ 4,751,538	$ 6,576,658
Due from related parties	28,667	1,748,769
Other current assets	2,742,406	4,797,022
Total Current Assets	50,139,482	86,200,974
Total Assets	58,046,415	94,080,133
Current Liabilities
Due to related parties	14,499	0
Warrant liabilities	832	2,744
Accrued expenses and other liabilities	744,181	2,728,300
Total Liabilities	12,609,790	20,018,844
Commitments and Contingencies
Shareholders' Equity
Ordinary Share (par value $0.0096 per share, 6,250,000 shares authorized; 1,534,487 shares issued and outstanding at December 31, 2022 and 2021, respectively)	14,731	14,731
Additional paid-in capital	41,564,418	41,564,418
Retained earnings	5,257,627	28,996,464
Accumulated other comprehensive (loss) income	(2,298,284)	2,587,543
Total Shareholders' Equity	45,436,625	74,061,289	$ 41,660,861	$ 79,784,574
Total Liabilities and Shareholders' Equity	58,046,415	94,080,133
Parent Company
Current Assets
Cash and cash equivalents	378,987	1,607,807
Due from related parties	57,661	28,667
Other current assets		24,902
Total Current Assets	407,654	1,661,376
Investments in subsidiaries	5,526,988	28,517,348
Amounts due from subsidiaries	39,515,899	43,908,651
Total Assets	45,479,535	74,087,375
Current Liabilities
Due to related parties	8,170	8,170
Warrant liabilities	2,744	2,744
Accrued expenses and other liabilities	31,996	15,172
Total Liabilities	42,910	26,086
Commitments and Contingencies
Shareholders' Equity
Ordinary Share (par value $0.0096 per share, 6,250,000 shares authorized; 1,534,487 shares issued and outstanding at December 31, 2022 and 2021, respectively)	14,731	17,556
Additional paid-in capital	41,564,418	41,561,593
Retained earnings	6,155,760	29,894,597
Accumulated other comprehensive (loss) income	(2,298,284)	2,587,543
Total Shareholders' Equity	45,436,625	74,061,289
Total Liabilities and Shareholders' Equity	$ 45,479,535	$ 74,087,375

CONSOLIDATED STATEMENTS OF CHANGES IN SHAREHOLDERS' EQUITY - USD ($)	IPO [Member] Ordinary Shares [Member]	IPO [Member] Additional Paid-in Capital	IPO [Member]	Over-Allotment Option [Member] Ordinary Shares [Member]	Over-Allotment Option [Member] Additional Paid-in Capital	Over-Allotment Option [Member]	Private Placement Ordinary Shares [Member]	Private Placement Additional Paid-in Capital	Private Placement	Ordinary Shares [Member]	Additional Paid-in Capital	Statutory Reserves	Retained Earnings	Other Comprehensive Loss	Total
Balance at the beginning (in shares) at Jul. 05, 2019															102
Increase (Decrease) in Stockholders' Equity [Roll Forward]
Number of shares issued during period															20,397,960
Balance at the end (in shares) at Jul. 06, 2019															2,040
Balance at the beginning at Dec. 31, 2019										$ 10,200	$ 3,814,665	$ 898,133	$ 35,472,246	$ 1,893,783	$ 79,784,574
Balance at the beginning (in shares) at Dec. 31, 2019										1,062,502
Increase (Decrease) in Stockholders' Equity [Roll Forward]
Net income (loss)													6,944,691		6,944,691
Appropriation to statutory reserve												217,259	(217,259)
Foreign currency translation adjustments														2,531,676	2,531,676
Balance at the end at Dec. 31, 2020										$ 10,200	3,814,665	898,133	35,743,917	1,193,946	$ 41,660,861
Balance at the end (in shares) at Dec. 31, 2020										1,062,502					20,400,000
Increase (Decrease) in Stockholders' Equity [Roll Forward]
Net income (loss)													(6,747,453)		$ (6,747,453)
Foreign currency translation adjustments														1,393,597	1,393,597
Number of shares issued during period	312,500			46,875			112,610
Value of shares issued during period	$ 3,000	$ 26,079,224	$ 26,082,224	$ 450	$ 4,154,537	$ 4,154,987	$ 1,081	$ 7,515,992	$ 7,517,073
Balance at the end at Dec. 31, 2021										$ 14,731	41,564,418	898,133	28,996,464	2,587,543	$ 74,061,289
Balance at the end (in shares) at Dec. 31, 2021										1,534,487					1,534,487
Increase (Decrease) in Stockholders' Equity [Roll Forward]
Net income (loss)													(23,738,837)		$ (23,738,837)
Foreign currency translation adjustments														(4,885,827)	(4,885,827)
Balance at the end at Dec. 31, 2022										$ 14,731	$ 41,564,418	$ 898,133	$ 5,257,627	$ (2,298,284)	$ 45,436,625
Balance at the end (in shares) at Dec. 31, 2022										1,534,487					1,534,487

- Definition

The portion of profit or loss for the period, net of income taxes, which is attributable to the parent.

+ References

+ Details

- Definition

Total of all stockholders' equity (deficit) items, net of receivables from officers, directors, owners, and affiliates of the entity which are attributable to the parent. The amount of the economic entity's stockholders' equity attributable to the parent excludes the amount of stockholders' equity which is allocable to that ownership interest in subsidiary equity which is not attributable to the parent (noncontrolling interest, minority interest). This excludes temporary equity and is sometimes called permanent equity.

+ References

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+ Details

SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES - Revenue recognition (Details) - USD ($)	12 Months Ended
	Dec. 31, 2022	Dec. 31, 2021	Dec. 31, 2020
SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES
Revenues	$ 2,415,098	$ 3,911,560	$ 11,911,229
Minimum
SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES
Payment term for accounts receivables	3 months
Maximum
SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES
Payment term for accounts receivables	6 months
SEM services
SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES
Revenues	$ 321,363	2,449,120	8,165,614
Non-SEM services
SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES
Revenues	2,093,735	1,462,440	3,745,615
Rebates and incentives offered by publishers
SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES
Revenues	1,930,188	3,663,168	9,430,758
Net fees from advertisers
SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES
Revenues	$ 484,910	$ 248,392	$ 2,480,471

- Definition

Amount, excluding tax collected from customer, of revenue from satisfaction of performance obligation by transferring promised good or service to customer. Tax collected from customer is tax assessed by governmental authority that is both imposed on and concurrent with specific revenue-producing transaction, including, but not limited to, sales, use, value added and excise.

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Reference 1: http://www.xbrl.org/2003/role/disclosureRef
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+ Details

CONSOLIDATED STATEMENTS OF CASH FLOWS - USD ($)	12 Months Ended
CONSOLIDATED STATEMENTS OF CASH FLOWS - USD ($)	Dec. 31, 2022	Dec. 31, 2021	Dec. 31, 2020
Cash Flows from Operating Activities:
Net (loss) income	$ (23,738,837)	$ (6,747,453)	$ 6,944,691
Adjustments to reconcile net (loss) income to net cash provided by (used in) operating activities:
Depreciation and amortization expenses	387,020	286,874	449,035
Amortization of right-of-use assets	513,218	731,923	92,979
Loss from disposal of property and equipment	1,275	14,810
Provision for doubtful accounts of accounts receivables	19,276,587	4,155,246	1,960,604
Provision for doubtful accounts of prepayments	1,196,563	2,668,421	0
Provision for doubtful accounts of other current assets	(12,483)	56,341
Changes in fair value of short-term investments	(17,335)
Impairment of property and equipment		434,878
Gain from disposal of intangible assets			(639,792)
Changes in fair value of warrant liabilities	(1,912)	(2,367,632)
Issuance cost in connection with warrant liabilities		34,927
Deferred tax expenses (benefits)			108,638
Changes in operating assets and liabilities:
Notes receivable			57,936
Accounts receivable	1,197,088	6,069,121	(12,463,921)
Prepayments - third parties	6,859,021	(5,802,836)	(153,907)
Prepayments - a related party	(1,160,912)	(2,333,148)
Media deposits - third parties	(134,687)	5,686,916	2,280,182
Media deposits - a related party	1,243,870	(1,409,128)
Other current assets	1,745,634	(1,353,409)	(590,378)
Accounts payable	(2,442,824)	(23,769,006)	(2,730,134)
Advance from advertisers	(769,787)	(1,722,679)	2,506,020
Advertiser deposits	(313,009)	(5,029,471)	(1,063,757)
Income tax payable		(302,038)	121,077
Accrued expenses and other liabilities	(1,848,320)	354,692	(182,909)
Operating lease liabilities	(378,689)	(870,548)	(89,568)
Net Cash Provided by (Used in) Operating Activities	1,601,481	(31,213,199)	(3,393,204)
Cash Flows from Investing Activities:
Purchases of property and equipment	(1,514,414)	(1,101,948)	(1,007)
Purchases of intangible assets	(13,463)	(837,299)
Proceeds from disposal of property and equipment	222,916
Proceeds from disposal of intangible assets			1,245,619
Prepayments for licensed copyrights		(2,924,897)
Purchases of short-term investments	(5,215,262)
Redemption of short-term investments	1,931,936
Purchase of long-term investments	(832,219)	(1,550,195)
Repayment of loans from related parties	1,642,724
Net Cash (Used in) Provided by Investing Activities	(3,777,782)	(6,414,339)	1,244,612
Cash Flows from Financing Activities:
Issuance of ordinary shares pursuant to initial public offering, net of issuance costs		26,507,760
Issuance of ordinary shares pursuant to over-allotment, net of issuance costs		4,154,987
Issuance of units pursuant to a private placement, net of issuance costs		9,852,486
Proceeds from bank borrowings	1,486,105	7,750,977	1,448,394
Repayment of bank borrowings		(9,301,172)
Proceeds from borrowings from third parties			6,611,917
Repayment of borrowings to third parties	(1,456)		(6,901,596)
Proceeds from borrowings from related parties			36,115
Repayment of borrowings to related parties		(709,021)
Payment of issuance cost related to initial public offering			(422,457)
Payments of dividends to shareholders	(1,188,884)	(2,170,273)
Net Cash Provided by Financing Activities	295,765	36,085,744	772,373
Effect of exchange rate changes on cash, cash equivalents and restricted cash	(323,238)	152,389	631,527
Net (decrease) increase in cash, cash equivalents and restricted cash	(2,203,774)	(1,389,405)	(744,692)
Cash, cash equivalents and restricted cash at beginning of year	8,882,851	10,272,256	11,016,948
Cash, cash equivalents and restricted cash at end of year	6,679,077	8,882,851	10,272,256
Reconciliation of cash, cash equivalents and restricted cash to the consolidated balance sheets
Cash and cash equivalents	6,679,077	4,751,538	6,576,658
Restricted cash		4,131,313	3,695,598
Total cash, cash equivalents and restricted cash	6,679,077	8,882,851	10,272,256
Supplemental Cash Flow Information
Cash paid for interest expense		88,518	191,486
Cash paid for income tax	2,158
Non-cash operating, investing and financing activities
Right of use assets obtained in exchange for operating lease obligations	$ 4,299	$ 1,574,311	355,450
Settlement of borrowings from a third party by netting off against accounts receivable due from a third party			$ 4,055,502

OTHER CURRENT ASSETS

12 Months Ended

Dec. 31, 2022

OTHER CURRENT ASSETS

OTHER CURRENT ASSETS

6.OTHER CURRENT ASSETS

Other current assets consist of the following:


	December 31,		December 31,
	2022		2021
Recoverable value-added taxes	$	2,689,170	$	4,197,620
Others		60,110		620,023
Less: provision for doubtful accounts		(6,874)		(20,621)
	$	2,742,406	$	4,797,022

For the years ended December 31, 2022, 2021, and 2020, provisions for doubtful accounts of other current assets were $nil, $56,341, and $nil, respectively, among which the Company wrote off other current assets of $nil, $35,976, and $nil. For the year ended December 31, 2022, the Company reversed provision for doubtful accounts of $12,483. Movement of allowance for doubtful accounts was as follows:


	December 31,		December 31,
	2022		2021
Balance at beginning of the year	$	20,621	$	—
Charge to expenses		—		56,341
Reversal of charges		(12,483)		—
Writing off of accounts receivable		—		(35,976)
Foreign exchange loss		(1,264)		256
Balance at end of the year	$	6,874	$	20,621

WARRANT LIABILITIES - Narrative details (Details)							12 Months Ended
WARRANT LIABILITIES - Narrative details (Details)	May 24, 2023	Mar. 21, 2023 $ / shares shares	May 24, 2022	May 11, 2022	Mar. 18, 2021 $ / shares shares	Jul. 06, 2019	Dec. 31, 2022 USD ($) $ / shares shares	Dec. 31, 2021 shares
Class of Warrant or Right [Line Items]
Share consolidation ratio	3.2	6	3.2	3.2		20
Liquidated damages upon failure to deliver \| $							$ 1,000
Volume weighted average price of the ordinary shares, per trading day \| $ / shares							$ 10
Volume weighted average price of the ordinary shares, from fifth trading day \| $ / shares							$ 20
Warrants outstanding \| shares							112,610
Subsequent Event [Member]
Class of Warrant or Right [Line Items]
Number of warrants issued \| shares		112,610
Warrant purchase ratio		0.5
Share consolidation ratio		6
Exercise price \| $ / shares		$ 107.71
Private Placement
Class of Warrant or Right [Line Items]
Number of warrants issued \| shares					1,960,784
Share consolidation ratio					0.5
Exercise price \| $ / shares					$ 5.61
Warrants outstanding \| shares								1,960,784

PREPAYMENTS FOR LICENSED COPYRIGHTS (Details)	12 Months Ended
PREPAYMENTS FOR LICENSED COPYRIGHTS (Details)	Dec. 31, 2021 USD ($) item agreement	Dec. 31, 2022 USD ($)
PREPAYMENTS FOR LICENSED COPYRIGHTS
Prepayments for licensed copyrights	$ 2,960,789	$ 2,735,592
Cooperation agreements \| agreement	2
Games developed by third party \| item	2
Distribution term	3 years
Prepayments for intangible assets	$ 2,924,897

OPERATING LEASE

12 Months Ended

Dec. 31, 2022

OPERATING LEASE

OPERATING LEASE

10.OPERATING LEASE

As of December 31, 2022 and 2021, the Company leases offices space under non-cancelable operating leases, with terms of three years. The Company considers those renewal or termination options that are reasonably certain to be exercised in the determination of the lease term and initial measurement of right of use assets and lease liabilities. Lease expense for lease payment is recognized on a straight-line basis over the lease term.

The Company determines whether a contract is or contains a lease at inception of the contract and whether that lease meets the classification criteria of a finance or operating lease. When available, the Company uses the rate implicit in the lease to discount lease payments to present value; however, most of the Company’s leases do not provide a readily determinable implicit rate. Therefore, the Company discount lease payments based on an estimate of its incremental borrowing rate.

For the year ended December 31, 2022, the Company early terminated offices space and had no outstanding right of use assets and lease liabilities as of December 31, 2022.

The Company’s lease agreements do not contain any material residual value guarantees or material restrictive covenants.

The table below presents the operating lease related assets and liabilities recorded on the balance sheets.


	December 31,		December 31,
	2022		2021
Rights of use lease assets	$	—	$	1,195,092

Operating lease liabilities, current		—		515,592
Operating lease liabilities, noncurrent		—		537,447
Total operating lease liabilities	$	—	$	1,053,039

The weighted average remaining lease terms and discount rates for all of operating leases were as follows as of December 31, 2022 and 2021:


	December 31,		December 31,
	2022		2021
Remaining lease term and discount rate
Weighted average remaining lease term (years)	1.26		2.25
Weighted average discount rate	4.75	%	4.75	%

During the years ended December 31, 2022, 2021, and 2020, the Company incurred total operating lease expenses of $545,491, $612,868, and $350,344, respectively.

WARRANT LIABILITIES - Quantitative information regarding Level 3 fair value measurements inputs for the Company's warrants (Details)	Dec. 31, 2022	Dec. 31, 2021	Mar. 18, 2021
Volatility
WARRANT LIABILITIES
Measurement inputs of the warrants	35.77	32.52	31.26
Stock price
WARRANT LIABILITIES
Measurement inputs of the warrants	5.16	0.90	6.58
Expected life of the warrants to convert
WARRANT LIABILITIES
Measurement inputs of the warrants	3.72	4.72	5.50
Risk free rate
WARRANT LIABILITIES
Measurement inputs of the warrants	4.17	1.27	1.09
Dividend yield
WARRANT LIABILITIES
Measurement inputs of the warrants	0.0	0.0	0.0

CONSOLIDATED BALANCE SHEETS (Parenthetical)	May 24, 2023 USD ($)	Mar. 21, 2023 USD ($) $ / shares shares	May 24, 2022 USD ($)	May 11, 2022 $ / shares	Jul. 06, 2019 $ / shares shares	May 23, 2023 USD ($)	Mar. 20, 2023 USD ($) $ / shares	Mar. 06, 2023 USD ($) $ / shares shares	Mar. 05, 2023 USD ($) $ / shares shares	Dec. 31, 2022 $ / shares shares	May 25, 2022 USD ($) $ / shares shares	May 23, 2022 USD ($)	Dec. 31, 2021 $ / shares shares	Dec. 31, 2020 $ / shares shares	Jul. 06, 2020 $ / shares shares	Dec. 31, 2019 $ / shares shares	Jul. 05, 2019 $ / shares shares	Dec. 04, 2018 $ / shares shares
CONSOLIDATED BALANCE SHEETS
Ordinary shares, par value \| $ / shares		$ 0.0016		$ 0.0005	$ 0.0005		$ 0.0096	$ 0.0016	$ 0.0016	$ 0.0096	$ 0.0016		$ 0.0096	$ 0.0005	$ 0.0005	$ 0.0005	$ 0.01	$ 0.0096
Ordinary shares, shares authorized		6,250,000						37,500,000	31,250,000	6,250,000	31,250,000		6,250,000	100,000,000	100,000,000	100,000,000	5,000,000	6,250,000
Ordinary shares, shares issued					2,040					1,534,487			1,534,487	20,400,000	20,400,000		102
Ordinary shares, shares outstanding										1,534,487			1,534,487	20,400,000	20,400,000	20,400,000
Share consolidation ratio	3.2	6	3.2	3.2	20
Authorized capital \| $	$ 60,000	$ 60,000	$ 60,000			$ 50,000	$ 50,000	$ 60,000	$ 50,000		$ 50,000	$ 50,000

OTHER CURRENT ASSETS (Tables)

12 Months Ended

Dec. 31, 2022

OTHER CURRENT ASSETS

Schedule of other current assets


	December 31,		December 31,
	2022		2021
Recoverable value-added taxes	$	2,689,170	$	4,197,620
Others		60,110		620,023
Less: provision for doubtful accounts		(6,874)		(20,621)
	$	2,742,406	$	4,797,022

Movement of allowance for doubtful accounts


	December 31,		December 31,
	2022		2021
Balance at beginning of the year	$	20,621	$	—
Charge to expenses		—		56,341
Reversal of charges		(12,483)		—
Writing off of accounts receivable		—		(35,976)
Foreign exchange loss		(1,264)		256
Balance at end of the year	$	6,874	$	20,621

EARNINGS PER SHARE (Tables)

12 Months Ended

Dec. 31, 2022

EARNINGS PER SHARE

Summary of computation of basic and diluted loss per common share


	For the Years Ended
	December 31,
	2022		2021		2020
Net (Loss) Income	$	(23,738,837)	$	(6,747,453)	$	6,944,691

Weighted average number of ordinary share outstanding*
Basic and Diluted		1,534,487		1,459,390		1,062,502

(Loss) Earnings per share
Basic and Diluted	$	(15.47)	$	(4.62)	$	6.54

*Retrospectively restated to give effect to a share consolidation at a ratio of one-for-three and one fifth (3.2) ordinary shares effective on May 24, 2022, an increase in the Company’s share capital from $50,000 to $60,000, and a share consolidation at a ratio of one-for-six (6) ordinary shares effective on March 21, 2023 (Note 15).

SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (Details) - USD ($)	12 Months Ended
	Dec. 31, 2022	Dec. 31, 2021	Dec. 31, 2020
Restricted cash
Restricted cash in bank accounts		$ 4,131,313	$ 3,695,598
Gross unrealized gains	$ 17,335
Gain from investment in trading securities	10,200
Prepayments
Allowances for doubtful accounts accrued for prepayments	$ 2,153,390	2,701,166
Media deposits
Percentage of deposit on guaranteed minimum spend	10.00%
Media deposits - third parties	$ 1,281,434	1,244,704
Media deposits - a related party	104,390	1,426,419
Operating leases
Impairment for right-of-use lease assets	0	$ 0
US Treasury Bills
Restricted cash
Fair value of investment assets	987,600
Gross unrealized gains	$ 7,135

EQUITY - Cash dividends (Details)	12 Months Ended
EQUITY - Cash dividends (Details)	Dec. 31, 2022 USD ($)	Dec. 31, 2021 USD ($)	Dec. 31, 2018 USD ($)	Dec. 31, 2018 CNY (¥)	Dec. 31, 2022 CNY (¥)	Dec. 31, 2021 CNY (¥)
EQUITY
Cash dividends			$ 7,269,978	¥ 50,000,000
Payments of dividends	$ 1,188,884	$ 2,170,273
Dividends payable	$ 0	$ 1,255,375			¥ 8,000,000	¥ 8,000,000

CONDENSED FINANCIAL INFORMATION OF THE PARENT COMPANY ONLY - Condensed balance sheets - Parenthetical (Details)	May 24, 2023 USD ($)	Mar. 21, 2023 USD ($) $ / shares shares	May 24, 2022 USD ($)	May 11, 2022 $ / shares	Jul. 06, 2019 $ / shares shares	May 23, 2023 USD ($)	Mar. 20, 2023 USD ($) $ / shares	Mar. 06, 2023 USD ($) $ / shares shares	Mar. 05, 2023 USD ($) $ / shares shares	Dec. 31, 2022 $ / shares shares	May 25, 2022 USD ($) $ / shares shares	May 23, 2022 USD ($)	Dec. 31, 2021 $ / shares shares	Dec. 31, 2020 $ / shares shares	Jul. 06, 2020 $ / shares shares	Dec. 31, 2019 $ / shares shares	Jul. 05, 2019 $ / shares shares	Dec. 04, 2018 $ / shares shares
Ordinary shares, par value \| $ / shares		$ 0.0016		$ 0.0005	$ 0.0005		$ 0.0096	$ 0.0016	$ 0.0016	$ 0.0096	$ 0.0016		$ 0.0096	$ 0.0005	$ 0.0005	$ 0.0005	$ 0.01	$ 0.0096
Ordinary shares, shares authorized		6,250,000						37,500,000	31,250,000	6,250,000	31,250,000		6,250,000	100,000,000	100,000,000	100,000,000	5,000,000	6,250,000
Ordinary shares, shares issued					2,040					1,534,487			1,534,487	20,400,000	20,400,000		102
Ordinary shares, shares outstanding										1,534,487			1,534,487	20,400,000	20,400,000	20,400,000
Share consolidation ratio	3.2	6	3.2	3.2	20
Authorized capital \| $	$ 60,000	$ 60,000	$ 60,000			$ 50,000	$ 50,000	$ 60,000	$ 50,000		$ 50,000	$ 50,000
Parent Company
Ordinary shares, par value \| $ / shares										$ 0.0096			$ 0.0096
Ordinary shares, shares authorized										6,250,000			6,250,000
Ordinary shares, shares issued										1,534,487			1,534,487
Ordinary shares, shares outstanding										1,534,487			1,534,487

INCOME TAXES - Deferred tax assets (Details) - USD ($)	Dec. 31, 2022	Dec. 31, 2021
Deferred tax assets:
Net operating losses carryforwards	$ 1,190,713	$ 1,465,593
Allowance for doubtful accounts of accounts receivable	27,745	65,526
Allowance for doubtful accounts of prepayments	70,207	114,293
Allowance for doubtful accounts of other current assets	1,717	1,858
Less: allowance on deferred tax assets	$ (1,290,381)	$ (1,647,270)

SUBSEQUENT EVENTS

12 Months Ended

Dec. 31, 2022

SUBSEQUENT EVENTS

SUBSEQUENT EVENTS

18.SUBSEQUENT EVENTS

On November 19, 2022, the Board of the Directors of the Company passed a resolution, which approved the Company, through Baosheng Network, to make an investment of approximately $2.90 million (RMB 20 million) in Guangzhou Shanxingzhe Technology Investment Partnership Co., Ltd.("Shanxingzhe"). As of the date of this report, the Company has paid consideration of RMB 20 million. Upon the close of the investment, the Company owned equity interest of 28.57% over Shanxingzhe.

On February 27, 2023, the Board of the Directors of the Company passed a resolution, which approved the Company, through Beijing Xunhuo, to make additional investment of approximately $1.45 million (RMB 10 million) in Shanxingzhe. As of the date of this report, the Company has not paid the investment consideration

These consolidated financial statements were approved by management and available for issuance on May 8, 2023, and the Company has evaluated subsequent events through this date.

OTHER CURRENT ASSETS - Movement of allowance for doubtful accounts (Details) - USD ($)	12 Months Ended
	Dec. 31, 2022	Dec. 31, 2021
OTHER CURRENT ASSETS
Balance at beginning of the year	$ 20,621
Charge to expenses		$ 56,341
Reversal of charges	(12,483)
Writing off of accounts receivable		(35,976)
Foreign exchange (loss) income	(1,264)	256
Balance at end of the year	$ 6,874	$ 20,621

EQUITY - Additional information (Details)	May 24, 2023 USD ($)	Mar. 21, 2023 USD ($) $ / shares shares	May 24, 2022 USD ($)	May 11, 2022 $ / shares	Jul. 06, 2019 $ / shares shares	May 23, 2023 USD ($)	Mar. 20, 2023 USD ($) $ / shares	Mar. 06, 2023 USD ($) $ / shares shares	Mar. 05, 2023 USD ($) $ / shares shares	Dec. 31, 2022 $ / shares shares	May 25, 2022 USD ($) $ / shares shares	May 23, 2022 USD ($)	Dec. 31, 2021 $ / shares shares	Dec. 31, 2020 $ / shares shares	Jul. 06, 2020 $ / shares shares	Dec. 31, 2019 $ / shares shares	Jul. 05, 2019 $ / shares shares	Dec. 04, 2018 $ / shares shares
EQUITY
Share consolidation ratio	3.2	6	3.2	3.2	20
Ordinary shares, par value \| $ / shares		$ 0.0016		$ 0.0005	$ 0.0005		$ 0.0096	$ 0.0016	$ 0.0016	$ 0.0096	$ 0.0016		$ 0.0096	$ 0.0005	$ 0.0005	$ 0.0005	$ 0.01	$ 0.0096
Authorized capital \| $	$ 60,000	$ 60,000	$ 60,000			$ 50,000	$ 50,000	$ 60,000	$ 50,000		$ 50,000	$ 50,000
Ordinary shares, shares authorized \| shares		6,250,000						37,500,000	31,250,000	6,250,000	31,250,000		6,250,000	100,000,000	100,000,000	100,000,000	5,000,000	6,250,000
Ordinary shares, shares issued \| shares					2,040					1,534,487			1,534,487	20,400,000	20,400,000		102
Ordinary shares, shares outstanding \| shares										1,534,487			1,534,487	20,400,000	20,400,000	20,400,000
2022 Share Consolidation
EQUITY
Share consolidation ratio		0.17		0.17
Ordinary shares, par value \| $ / shares				$ 0.0016
2023 Share Consolidation
EQUITY
Share consolidation ratio		1
Ordinary shares, par value \| $ / shares		$ 0.0096

EQUITY - Board of directors approved (Details) $ / shares in Units, $ in Millions										12 Months Ended
	May 24, 2023	Mar. 21, 2023 $ / shares shares	May 24, 2022	May 11, 2022 $ / shares	Mar. 18, 2021 USD ($) item $ / shares shares	Mar. 02, 2021 USD ($) $ / shares shares	Feb. 10, 2021 $ / shares shares	Jul. 06, 2020 $ / shares shares	Jul. 06, 2019 $ / shares shares	Dec. 31, 2021 $ / shares shares	Mar. 20, 2023 $ / shares	Mar. 06, 2023 $ / shares shares	Mar. 05, 2023 $ / shares shares	Dec. 31, 2022 $ / shares shares	May 25, 2022 $ / shares shares	Dec. 31, 2020 $ / shares shares	Dec. 31, 2019 $ / shares shares	Jul. 05, 2019 $ / shares shares	Dec. 04, 2018 $ / shares shares
EQUITY
Number of shares issued during period								20,397,960	20,397,960
Ordinary shares, shares authorized		6,250,000						100,000,000		6,250,000		37,500,000	31,250,000	6,250,000	31,250,000	100,000,000	100,000,000	5,000,000	6,250,000
Ordinary shares, par value \| $ / shares		$ 0.0016		$ 0.0005				$ 0.0005	$ 0.0005	$ 0.0096	$ 0.0096	$ 0.0016	$ 0.0016	$ 0.0096	$ 0.0016	$ 0.0005	$ 0.0005	$ 0.01	$ 0.0096
Stock split	3.2	6	3.2	3.2					20
Ordinary shares, shares issued								20,400,000	2,040	1,534,487				1,534,487		20,400,000		102
Ordinary shares, shares outstanding								20,400,000		1,534,487				1,534,487		20,400,000	20,400,000
Securities purchase agreement
EQUITY
Amount of investment \| $					$ 10.0
Securities purchase agreement \| Investor
EQUITY
Number of investors \| item					2
Securities Act of 1933, as Amended
EQUITY
Exercise price \| $ / shares					$ 5.61
Ordinary shares
EQUITY
Ordinary shares, shares issued										1,534,487				1,534,487		1,062,502	1,062,502
Ordinary shares \| Securities Act of 1933, as Amended
EQUITY
Number of ordinary share in each unit					1,960,784
Ordinary shares, par value \| $ / shares					$ 0.0005
Number of shares in a unit					1
Number of warrants in a unit					0.5
Initial public offering
EQUITY
Number of shares issued during period						900,000	6,000,000
Share price \| $ / shares						$ 5.00	$ 5.00
Initial public offering \| Ordinary shares
EQUITY
Number of shares issued during period										312,500
Over-allotment option
EQUITY
Gross proceeds \| $						$ 34.5
Over-allotment option \| Ordinary shares
EQUITY
Number of shares issued during period										46,875

BANK BORROWING

12 Months Ended

Dec. 31, 2022

BANK BORROWING

BANK BORROWING

11.BANK BORROWING


	December 31,		December 31,
	2022		2021
Bank borrowing	$	1,449,864	$	—

On March 24, 2020, Beijing Baosheng entered into a two-year credit facility agreement of maximum RMB10,000,000 (equivalent to $1,448,394) with Bank of Communications. On April 1, 2020, Beijing Baosheng withdrew RMB10,000,000 (equivalent to $1,448,394), which will be due on March 30, 2021. The loan bears a fixed interest rate of 4.785% per annum. The loan is guaranteed by Beijing Guohua Wenke Finance Guarantee Co., Ltd., for whom a counter-guarantee was provided by Kashi Baosheng and Ms. Wenxiu Zhong, the Chairperson of the Company’s board of directors and CEO. Beijing Baosheng also provided counter-guarantee to Beijing Guohua Wenke Finance Guarantee Co., Ltd. with accounts receivable from one customer of RMB105,000,000 (equivalent to $14,852,115) pledged as the collateral. The outstanding balance was RMB10,000,000 (equivalent to $1,532,567), which was fully repaid as of the maturity date in March 2021.

On March 5, 2021, Beijing Baosheng entered into a revolving credit facility agreement of with Bank of Communications under which Beijing Baosheng can draw-down up to RMB50,000,000 million (approximately $7,750,977) by June 8, 2021. Each borrowing under the credit facility is due within three months from the date of issuance. The interest rate for this credit facility was fixed at 3.85% per annum, and required the Company to make a deposit of same amount. The loan is guaranteed by Ms. Wenxiu Zhong. The Company has repaid borrowing in May 2021 and the deposit was released accordingly.

On December 22, 2022, Baosheng Network entered into a bank loan agreement with Bank of Beijing under which under which Beijing Baosheng borrowed a one-year loan of RMB10,000,000 million (approximately $1,449,846). The interest rate for the borrowing was fixed at 3.65% per annum. The loan is guaranteed by two third parties, for whom the Company involved a third party counter-guarantor. In addition the Company pledged its properties with the counter guarantor.

For the year ended December 31, 2022, 2021, and 2020, interest expense arising from the bank borrowing amounted to $nil, $88,518, and $50,824, respectively.

GOING CONCERN

12 Months Ended

Dec. 31, 2022

GOING CONCERN

GOING CONCERN

3.GOING CONCERN

As reflected in the Company’s consolidated financial statements, the Company had a net loss of $23,738,837 and $6,747,453 for the years ended December 31, 2022 and 2021, and reported a cash inflow of $1,601,481 for the year ended December 31, 2022, while cash outflow of $31,213,199 and $3,393,204 from operating activities for the years ended December 31, 2021 and 2020, respectively. These factors raise a substantial doubt about the Company’s ability to continue as a going concern.

As of December 31, 2022, the Company had cash and cash equivalent of $6,679,077 and short-term investments of $3,082,990. On the other hand, the balance of current liabilities of $11,860,919 which were expected to get paid in the year ended December 31, 2023. The Company reported a positive cash flow of $1,601,481 from operating activities for the year ended December 31, 2022, and expected to make continuous cash inflows in the next twelve months. The Company also obtained a one-year bank borrowing during the year ended December 31, 2022. The Company expected to renew the bank borrowing upon its maturity. The Company intends to meet the cash requirements for the next 12 months from the issuance date of this report through a combination of application of credit terms, bank loans, and principal shareholder’s financial support. Given the factors mentioned above, the Company assesses current working capital is sufficient to meet its obligations for the next 12 months from the issuance date of this report. Accordingly, management continues to prepare the Company’s consolidated financial statements on going concern basis.

However, future financing requirements will depend on many factors, including the scale and pace of the expansion of the Company’s advertising business, the expansion of the Group’s sales and marketing activities, and potential investments in, or acquisitions of, businesses or technologies. Inability to obtain credit terms from medias or access to financing on favorable terms in a timely manner or at all would materially and adversely affect the Company’s business, results of operations, financial condition, and growth prospects.

OTHER CURRENT ASSETS (Details) - USD ($)	12 Months Ended
OTHER CURRENT ASSETS (Details) - USD ($)	Dec. 31, 2022	Dec. 31, 2021
OTHER CURRENT ASSETS
Recoverable value-added taxes	$ 2,689,170	$ 4,197,620
Others	60,110	620,023
Less: provision for doubtful accounts	(6,874)	(20,621)
Other current assets	2,742,406	4,797,022
Provision for doubtful accounts of other current assets	(12,483)	56,341
Reversed provision for doubtful accounts	$ 12,483
Other current assets, write off		$ 35,976

EARNINGS PER SHARE

12 Months Ended

Dec. 31, 2022

EARNINGS PER SHARE

EARNINGS PER SHARE

14.EARNINGS PER SHARE

The following table sets forth the computation of basic and diluted loss per common share for the years ended December 31, 2022, 2021, and 2020, respectively:


	For the Years Ended
	December 31,
	2022		2021		2020
Net (Loss) Income	$	(23,738,837)	$	(6,747,453)	$	6,944,691

Weighted average number of ordinary share outstanding*
Basic and Diluted		1,534,487		1,459,390		1,062,502

(Loss) Earnings per share
Basic and Diluted	$	(15.47)	$	(4.62)	$	6.54

For the years ended December 31, 2022, 2021 and 2020, the Company had no dilutive shares.

PREPAYMENTS - THIRD PARTIES (Tables)

12 Months Ended

Dec. 31, 2022

PREPAYMENTS - THIRD PARTIES

Schedule of prepayments relating to third parties


	December 31,		December 31,
	2022		2021
Prepayments to third party medias	$	2,957,346	$	12,077,413
Less: provision for doubtful accounts		(2,153,390)		(2,701,166)
	$	803,956	$	9,376,247

Schedule of movement of allowance for doubtful prepayments


	December 31,		December 31,
	2022		2021
Balance at beginning of the year	$	2,701,166	$	—
Charge to expenses		1,196,563		2,668,421
Writing off of accounts receivable		(1,547,445)		—
Foreign exchange (loss) income		(196,894)		32,745
Balance at end of the year	$	2,153,390	$	2,701,166

INTANGIBLE ASSETS, NET (Tables)

12 Months Ended

Dec. 31, 2022

INTANGIBLE ASSETS, NET

Summary of intangible assets


	December 31,		December 31,
	2022		2021
Copyrights	$	752,288	$	814,217
Software		43,954		84,082
Less: accumulated amortization		(238,016)		(122,696)
	$	558,226	$	775,603

CONTINGENCIES - Horgos Baosheng (Details) - Horgos Baosheng - Wrongfully terminated dispute	Apr. 23, 2020 USD ($)	Apr. 23, 2020 CNY (¥)	Aug. 23, 2019 USD ($)	Aug. 23, 2019 CNY (¥)	Dec. 31, 2019 USD ($)	Dec. 31, 2019 CNY (¥)
CONTINGENCIES
Loss contingencies, amount accrued					$ 60,873	¥ 424,161
Arbitration Committee
CONTINGENCIES
Damage awarded			$ 60,000	¥ 424,161
Court in Beijing
CONTINGENCIES
Damage awarded	$ 60,000	¥ 424,161

SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES - Concentration and credit risk (Details)	12 Months Ended
	Dec. 31, 2022 USD ($) item	Dec. 31, 2021 USD ($) item	Dec. 31, 2020 item
SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES
FDIC, deposit at financial institutions \| $	$ 5,921,461	$ 1,934,708
Accounts receivable \| Credit concentration risk
SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES
Number of advertisers	3	2
Accounts receivable \| Credit concentration risk \| Advertiser/ publisher one
SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES
Concentration of risk (as a percent)	18.10%	17.40%
Accounts receivable \| Credit concentration risk \| Advertiser/ publisher two
SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES
Concentration of risk (as a percent)	14.40%	12.60%
Accounts receivable \| Credit concentration risk \| Advertiser/ publisher three [Member]
SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES
Concentration of risk (as a percent)	13.20%
Revenue \| Customer concentration risk
SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES
Number of publishers	3	3	2
Revenue \| Customer concentration risk \| Publisher one
SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES
Concentration of risk (as a percent)	36.80%	41.80%	68.90%
Revenue \| Customer concentration risk \| Publisher two
SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES
Concentration of risk (as a percent)	13.30%	28.10%	12.80%
Revenue \| Customer concentration risk \| Publisher three
SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES
Concentration of risk (as a percent)	10.70%	16.50%
Accounts payable \| Supplier concentration risk
SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES
Number of publishers	2	3
Accounts payable \| Supplier concentration risk \| Publisher one
SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES
Concentration of risk (as a percent)	43.50%	36.20%
Accounts payable \| Supplier concentration risk \| Publisher two
SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES
Concentration of risk (as a percent)	27.70%	13.60%
Accounts payable \| Supplier concentration risk \| Publisher three
SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES
Concentration of risk (as a percent)		10.20%

BANK BORROWING (Tables)

12 Months Ended

Dec. 31, 2022

BANK BORROWING

Summary of bank borrowings


	December 31,		December 31,
	2022		2021
Bank borrowing	$	1,449,864	$	—

INCOME TAXES (Details) - HKD ($) $ in Millions	12 Months Ended
INCOME TAXES (Details) - HKD ($) $ in Millions	Dec. 31, 2022	Dec. 31, 2021	Dec. 31, 2020
Income Tax Disclosure [Line Items]
Income tax rate	25.00%	25.00%	25.00%
Hong Kong \| Assessable profits of first HKD$2 million
Income Tax Disclosure [Line Items]
Assessable profits	$ 2
Income tax rate	8.25%
Hong Kong \| Assessable profits above HKD$2 million
Income Tax Disclosure [Line Items]
Assessable profits	$ 2
Income tax rate	16.50%
PRC
Income Tax Disclosure [Line Items]
Income tax rate	25.00%
PRC \| Beijing Baosheng Technology Company Limited [Member]
Income Tax Disclosure [Line Items]
Income tax rate	25.00%
PRC \| Horgos Baosheng Advertising Co. Ltd [Member]
Income Tax Disclosure [Line Items]
Income tax rate	25.00%
Preferential income tax rate	0.00%
Preferential income tax rate term			5 years
PRC \| Kashi Baosheng Information Technology Co. Ltd [Member]
Income Tax Disclosure [Line Items]
Preferential income tax rate	0.00%
Preferential income tax rate term	5 years
PRC \| Baosheng Technology
Income Tax Disclosure [Line Items]
Preferential income tax rate	0.00%
Preferential income tax rate term	5 years

ACCOUNTS RECEIVABLE, NET

12 Months Ended

Dec. 31, 2022

ACCOUNTS RECEIVABLE, NET

ACCOUNTS RECEIVABLE, NET

4.ACCOUNTS RECEIVABLE, NET

The Company records revenues and costs on a net basis and the related accounts receivable and payable amounts on a gross basis. Accounts receivable, net of provision for doubtful accounts consist of the following:


	December 31,		December 31,
	2022		2021
Accounts receivable	$	47,783,610	$	62,789,964
Less: provision for doubtful accounts		(17,681,792)		(6,426,781)
Accounts receivable, net of provision for doubtful accounts	$	32,101,818	$	56,363,183

Provisions for doubtful accounts of accounts receivable were $19,276,587, $4,155,246, and $1,960,604 for the years ended December 31, 2022, 2021, and 2020, respectively. Movement of allowance for doubtful accounts was as follows:


	December 31,		December 31,
	2022		2021
Balance at beginning of the year	$	6,426,781	$	4,702,394
Charge to expenses		19,276,587		4,155,246
Writing off of accounts receivable		(7,239,204)		(2,562,857)
Foreign exchange loss		(782,372)		131,998
Balance at end of the year	$	17,681,792	$	6,426,781

WARRANT LIABILITIES (Tables)

12 Months Ended

Dec. 31, 2022

WARRANT LIABILITIES

Summary of change in the fair value of the warrant liabilities


Estimated fair value as of January 1, 2021	$	—
Issuance of warrants		2,370,376
Changes in estimated fair value		(2,367,632)
Estimated fair value as of December 31, 2021		2,744
Changes in estimated fair value		(1,912)
Estimated fair value as of December 31, 2022	$	832

Summary of quantitative information regarding Level 3 fair value measurements inputs for the Company's warrants


	As of December 31,		As of December 31,		As of March 18,
	2022		2021		2021
Volatility	35.77	%	32.52	%	31.26	%
Stock price	5.16		0.90		6.58
Expected life of the warrants to convert	3.72		4.72		5.50
Risk free rate	4.17	%	1.27	%	1.09	%
Dividend yield	0.0	%	0.0	%	0.0	%

CONDENSED FINANCIAL INFORMATION OF THE PARENT COMPANY ONLY - Condensed statements of comprehensive (loss) income (Details) - USD ($)	12 Months Ended
	Dec. 31, 2022	Dec. 31, 2021	Dec. 31, 2020
Revenues	$ 2,415,098	$ 3,911,560	$ 11,911,229
Cost of revenues	(2,446,941)	(2,077,516)	(1,256,353)
Gross (loss) profit	(31,843)	1,834,044	10,654,876
Operating Expenses
General and administrative expenses	(2,811,215)	(2,856,789)	(2,103,263)
(Loss) Income from Operations	(24,067,983)	(9,423,709)	5,643,175
Interest income	16,397	(57,109)	(183,896)
(Loss) Income Before Income Taxes	(23,738,837)	(6,747,453)	7,053,329
Income tax benefit			(108,638)
Net (Loss) Income	(23,738,837)	(6,747,453)	6,944,691
Other Comprehensive (Loss) Income
Foreign currency translation adjustment	(4,885,827)	1,393,597	2,531,676
Comprehensive (Loss) Income	(28,624,664)	(5,353,856)	9,476,367
Parent Company
Operating Expenses
General and administrative expenses	(769,017)	(787,744)	(3,197)
(Loss) Income from Operations	(769,017)	(787,744)	(3,197)
Equity in (loss) gain of subsidiaries	(22,990,360)	(8,327,398)	6,947,862
Interest income	837	57	26
Changes in fair value of warrant liabilities	19,703	2,367,632
(Loss) Income Before Income Taxes	(23,738,837)	(6,747,453)	6,944,691
Net (Loss) Income	(23,738,837)	(6,747,453)	6,944,691
Other Comprehensive (Loss) Income
Foreign currency translation adjustment	(4,885,827)	1,393,597	2,531,676
Comprehensive (Loss) Income	$ (28,624,664)	$ (5,353,856)	$ 9,476,367

ORGANIZATION AND BUSINESS DESCRIPTION

12 Months Ended

Dec. 31, 2022

ORGANIZATION AND BUSINESS DESCRIPTION

ORGANIZATION AND BUSINESS DESCRIPTION

1.ORGANIZATION AND BUSINESS DESCRIPTION

Baosheng Media Group Holdings Limited (“Baosheng Group”) was incorporated on December 4, 2018 under the laws of the Cayman Islands as an exempted company with limited liability.

Baosheng Group owns 100% of the equity interests of Baosheng Media Group Limited (“Baosheng BVI”), an entity incorporated under the laws of British Virgin Islands (“BVI”) on December 14, 2018.

Baosheng BVI owns 100% of the equity interests of Baosheng Media Group (Hong Kong) Holdings Limited (“Baosheng HK”), a business company incorporated in accordance with the laws and regulations of Hong Kong on January 7, 2019. On March 21, 2021, Baosheng HK established Beijing Baosheng Network Technology Co., Ltd. (“Baosheng Network”), a wholly owned subsidiary in China. On April 2, 2022, Baosheng Network set up a wholly owned subsidiary, Beijing Xunhuo E-commerce Co., Ltd. (“Beijing Xunhuo”).

Beijing Baosheng Technology Company Limited (“Beijing Baosheng”) was established in October 17, 2014 under the laws of the People’s Republic of China (“China” or the “PRC”) with a registered capital of $289,540 (RMB 2,000,000). Beijing Baosheng has three wholly-owned subsidiaries, Horgos Baosheng Advertising Co., Ltd. (“Horgos Baosheng”), Kashi Baosheng Information Technology Co., Ltd. (“Kashi Baosheng”), and Baosheng Technology (Horgos) Co., Ltd. (“Baosheng Technology”), which were established on August 30, 2016, May 15, 2018 and January 2, 2020 in China, respectively.

On January 21, 2019, Baosheng HK entered into an equity transfer agreement with Beijing Baosheng and the shareholders of Beijing Baosheng. Pursuant to the equity transfer agreement, each of the shareholders of Beijing Baosheng transferred to Baosheng HK their respective equity interests in Beijing Baosheng at a consideration aggregating $13,844,895 (RMB94,045,600), determined by reference to the evaluation of the equity interest of Beijing Baosheng as of June 30, 2018 (the “reorganization”). Upon completion of such transfers, Beijing Baosheng became a direct wholly-owned subsidiary of Baosheng HK and an indirect-wholly owned subsidiary of the Company.

On June 4, 2019, Baosheng Group completed the reorganization of entities under common control of its then existing shareholders, who collectively owned 100% of the equity interests of Beijing Baosheng prior to the reorganization. Baosheng Group, Baosheng BVI and Baosheng HK were established as holding companies of Beijing Baosheng and its subsidiaries, and all of these entities are under common control which results in the consolidation of Beijing Baosheng and its subsidiaries, which have been accounted for as a reorganization of entities under common control at carrying value.

The consolidated financial statements are prepared on the basis as if the reorganization became effective as of the beginning of the first period presented in the consolidated financial statements.

Baosheng Group, Baosheng BVI, Baosheng HK, Beijing Baosheng and its subsidiaries (herein collectively referred to as the “Company”) are engaged in providing online marketing channels to advertisers for them to manage their online marketing activities.

Share consolidation and increase in authorized share capital

On May 11, 2022, the Board of Directors resolved to approve a share consolidation at a ratio of one-for-three and one fifth (3.2) ordinary shares with a par value of US$0.0005 each in the Company’s issued and unissued share capital into one ordinary share with a par value of US$0.0016 (“2022 Share Consolidation”), for which the Company obtained shareholder approval on April 28, 2023. Immediately following the 2022 Share Consolidation, the authorized share capital of the Company was US$50,000 divided into 31,250,000 ordinary shares of a par value US$0.0016 each. The 2022 Share Consolidation became effective on May 24, 2022.

1.ORGANIZATION AND BUSINESS DESCRIPTION (CONTINUED)

On March 6, 2023, the Company effected an increase in its authorized share capital from US$50,000 divided into 31,250,000 ordinary shares of a par value US$0.0016 each to US$60,000 divided into 37,500,000 ordinary shares of a par value US$0.0016 each(the “Increase in Share Capital”), and on March 21, 2023, the Company effected a share consolidation at a ratio of one-for-six, such that each (6) ordinary shares with a par value of US$0.0016 each in the Company’s issued and unissued share capital were consolidated into one ordinary share with a par value of US$0.0096 (“2023 Share Consolidation”). Immediately following the Increase in Share Capital and 2023 Share Consolidation, the authorized share capital of the Company was increased from US$50,000 to US$60,000, divided into 6,250,000 ordinary shares of a par value US$0.0096 each. The Company believes it is appropriate to reflect the Increase in Share Capital, 2022 Share Consolidation and 2023 Share Consolidation on a retroactive basis pursuant to ASC 260. The Company has retroactively restated all shares and per share data for all periods presented. As a result, the Company had 6,250,000 authorized shares, par value of US$0.0096, of which 1,534,487 shares were issued and outstanding as of December 31, 2022 and 2021, respectively.

EQUITY - Restarted all shares (Details) - $ / shares	Mar. 21, 2023	Mar. 20, 2023	Mar. 06, 2023	Mar. 05, 2023	Dec. 31, 2022	May 25, 2022	May 11, 2022	Dec. 31, 2021	Dec. 31, 2020	Jul. 06, 2020	Dec. 31, 2019	Jul. 06, 2019	Jul. 05, 2019	Dec. 04, 2018
EQUITY
Ordinary shares, shares authorized	6,250,000		37,500,000	31,250,000	6,250,000	31,250,000		6,250,000	100,000,000	100,000,000	100,000,000		5,000,000	6,250,000
Ordinary shares, par value	$ 0.0016	$ 0.0096	$ 0.0016	$ 0.0016	$ 0.0096	$ 0.0016	$ 0.0005	$ 0.0096	$ 0.0005	$ 0.0005	$ 0.0005	$ 0.0005	$ 0.01	$ 0.0096
Ordinary shares, shares issued					1,534,487			1,534,487	20,400,000	20,400,000		2,040	102
Ordinary shares, shares outstanding					1,534,487			1,534,487	20,400,000	20,400,000	20,400,000

CONDENSED FINANCIAL INFORMATION OF THE PARENT COMPANY ONLY

12 Months Ended

Dec. 31, 2022

CONDENSED FINANCIAL INFORMATION OF THE PARENT COMPANY ONLY

CONDENSED FINANCIAL INFORMATION OF THE PARENT COMPANY ONLY

19.CONDENSED FINANCIAL INFORMATION OF THE PARENT COMPANY ONLY

The subsidiaries did not pay any dividend to the parent company for the periods presented. For the purpose of presenting parent only financial information, the parent company records its investment in its subsidiary under the equity method of accounting. Such investment is presented on the separate condensed balance sheets of the parent company as “Investment in subsidiaries” and the income or loss of the subsidiaries is presented as “Equity in (loss) gain of subsidiaries”. Certain information and footnote disclosures generally included in financial statements prepared in accordance with U.S. GAAP have been condensed and omitted.

The parent company did not have significant capital and other commitments, long-term obligations, or guarantees as of December 31, 2022 and 2021.

The following is the condensed financial information of the Company on a parent company only basis.

Condensed balance sheets


	December 31,		December 31,
	2022		2021
ASSETS
Current Assets
Cash and cash equivalents	$	378,987	$	1,607,807
Due from related parties		57,661		28,667
Other current assets		—		24,902
Total Current Assets		407,654		1,661,376

Investments in subsidiaries		5,526,988		28,517,348
Amounts due from subsidiaries		39,515,899		43,908,651
Total Assets	$	45,479,535	$	74,087,375

LIABILITIES AND SHAREHOLDERS’ EQUITY
Current Liabilities
Due to related parties	$	8,170	$	8,170
Warrant liabilities		2,744		2,744
Accrued expenses and other liabilities		31,996		15,172
Total Liabilities		42,910		26,086

Commitments and Contingencies

Shareholders’ Equity
Ordinary Share (par value $0.0096 per share, 6,250,000 shares authorized; 1,534,487 shares issued and outstanding at December 31, 2022 and 2021, respectively)*		14,731		17,556
Additional paid-in capital		41,564,418		41,561,593
Retained earnings		6,155,760		29,894,597
Accumulated other comprehensive (loss) income		(2,298,284)		2,587,543
Total Shareholders’ Equity		45,436,625		74,061,289

Total Liabilities and Shareholders’ Equity	$	45,479,535	$	74,087,375

19.CONDENSED FINANCIAL INFORMATION OF THE PARENT COMPANY ONLY (CONTINUED)

Condensed statements of comprehensive (loss) income


	For the Years Ended
	December 31,
	2022		2021		2020
Revenues	$	—	$	—	$	—
Cost of revenues		—		—		—
Gross profit		—		—		—

Operating Expenses
General and administrative expenses		(769,017)		(787,744)		(3,197)

Loss from Operations		(769,017)		(787,744)		(3,197)

Equity in (loss) gain of subsidiaries	$	(22,990,360)	$	(8,327,398)	$	6,947,862
Interest income		837		57		26
Changes in fair value of warrant liabilities		19,703		2,367,632		—
Net (Loss) Income Before Income Taxes	$	(23,738,837)	$	(6,747,453)	$	6,944,691

Income tax expense		—		—		—

Net (Loss) Income	$	(23,738,837)	$	(6,747,453)	$	6,944,691

Other Comprehensive (Loss) Income
Foreign currency translation adjustment		(4,885,827)		1,393,597		2,531,676
Comprehensive (Loss) Income	$	(28,624,664)	$	(5,353,856)	$	9,476,367

Condensed statements of cash flows


	For the Years Ended
	December 31,
	2022		2021		2020
Cash Flows from Operating Activities:
Net Cash (Used in) Provided by Operating Activities	$	(706,913)	$	(824,929)	$	26

Cash Flows from Investing Activities:
Loans made to subsidiaries		(500,000)		(38,300,000)		—
Net Cash Used in Investing Activities		(500,000)		(38,300,000)		—

Cash Flows from Financing Activities:
Capital injection from shareholders		—		—		—
Issuance of ordinary shares pursuant to initial public offering, net of issuance costs		—		26,597,919		—
Issuance of ordinary shares pursuant to over-allotment, net of issuance costs		—		4,154,987		—
Issuance of units pursuant to a private placement, net of issuance costs		—		9,852,486		—
Net Cash Provided by Financing Activities		—		40,605,392		—

Effect of exchange rate changes on cash and cash equivalents		(21,907)		127,317		—

Net increase in cash and cash equivalents		(1,228,820)		1,607,780		26
Cash and cash equivalents at beginning of year		1,607,807		27		1
Cash and cash equivalents at end of year	$	378,987	$	1,607,807	$	27

SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES - Property and equipment, net (Details)	12 Months Ended
	Dec. 31, 2022
Property
SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES
Useful lives of property and equipment	20 years
Office equipment
SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES
Useful lives of property and equipment	5 years
Electronic equipment
SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES
Useful lives of property and equipment	3 years
Vehicle
SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES
Useful lives of property and equipment	4 years

WARRANT LIABILITIES - Change in the fair value of the warrant liabilities (Details) - USD ($)	12 Months Ended
	Dec. 31, 2022	Dec. 31, 2021
Change in the fair value of the warrant liabilities
Estimated fair value, Beginning	$ 2,744	$ 0
Issuance of warrants		2,370,376
Changes in estimated fair value	(1,912)	(2,367,632)
Estimated fair value, Ending	$ 832	$ 2,744

WARRANT LIABILITIES

12 Months Ended

Dec. 31, 2022

WARRANT LIABILITIES

WARRANT LIABILITIES

12.

WARRANT LIABILITIES

In connection with the private placement on March 18, 2021 (Note 15), the Company sold an aggregate of 1,960,784 warrants with each to purchase one half of one ordinary share at an exercise price of $5.61 per ordinary share. A warrant may be exercised at any time on or after March 18, 2021 and on or prior to 5:00 p.m. (New York City time) on September 18, 2026 but not thereafter. Giving effect to a share consolidation at a ratio of one-for-three and one fifth (3.2) ordinary shares effective on May 24, 2022 and a share consolidation at a ratio of one-for-six (6) ordinary shares effective on March 21, 2023, the 1,960,784 warrants was consolidated to 112,610 warrants with each to purchase one half of one ordinary share at an exercise price of $107.71 per ordinary share.

The holders of warrants are granted with registration rights. If at any time after the six month anniversary of March 18, 2021, there is no effective registration statement registering, or no current prospectus available for the issuance of the warrant shares to the holder and the resale of the warrant shares, then this warrant may also be exercised, in whole or in part, at such time by means of a “cashless exercise”. The warrants are subject to adjustments in the event of 1) stock dividends and splits, 2) subsequent right offerings, 3) pro rata dilutions and 4) fundamental transactions. No fractional shares or scrip representing fractional shares shall be issued upon the exercise of the warrants.

12.WARRANT LIABILITIES (CONTINUED)

In the event of a fundamental transaction, the Company or any successor entity shall, at the holder’s option, purchase this warrant from the holder by paying to the holder an amount of cash equal to the value of the remaining unexercised portion of the warrant, using Black-Scholes model, on the date of the consummation of such fundamental transaction; provided, however, that, if the fundamental transaction is not within the Company’s control, including not approved by the Company’s Board of Directors, holder shall only be entitled to receive from the Company or any successor entity the same type or form of consideration (and in the same proportion), at the value of the unexercised portion of the warrant, that is being offered and paid to the holders of ordinary shares of the Company in connection with the fundamental transaction, whether that consideration be in the form of cash, stock or any combination thereof, or whether the holders of ordinary shares are given the choice to receive from among alternative forms of consideration in connection with the fundamental transaction.

If the Company fails for any reason to deliver to the holders the warrant shares subject to a notice of exercise by the warrant share delivery date, the Company shall pay to the holder, in cash, as liquidated damages and not as a penalty, for each $1,000 of warrant shares subject to such exercise (based on the volume weighted average price of the ordinary shares on the date of the applicable Notice of Exercise), $10 per trading day (increasing to $20 per trading day on the fifth (5th) Trading Day after such liquidated damages begin to accrue) for each trading day after such warrant share delivery date until such warrant shares are delivered or holder rescinds such exercise. In addition, cash payment is required as a compensation for buy-in on failure of delivery warrant shares.

The above mentioned cash-settled make-whole provisions led the warrants classified as a derivative warrant liability. The derivative warrant liability was initially recorded at fair value on the closing date of the private placement, and were subsequently remeasured at fair value at each reporting dates. The changes in the fair value of derivative warrant liability were charged to the account of “Changes in fair value of warrant liabilities” in the consolidated statements of operations and comprehensive income (loss).

As of December 31, 2021, the Company had 1,960,784 private placement warrants outstanding. Giving effect to a share consolidation at a ratio of one-for-three and one fifth (3.2) ordinary shares effective on May 24, 2022 and a share consolidation at a ratio of one-for-six (6) ordinary shares effective on March 21, 2023, the Company had 112,610 warrants as of December 31, 2022. The warrant liability related to such warrants was remeasured to its fair value at each reporting period. The change in fair value was recognized in the consolidated statements of operations. The change in the fair value of the warrant liabilities is summarized as follows:


Estimated fair value as of January 1, 2021	$	—
Issuance of warrants		2,370,376
Changes in estimated fair value		(2,367,632)
Estimated fair value as of December 31, 2021		2,744
Changes in estimated fair value		(1,912)
Estimated fair value as of December 31, 2022	$	832

The fair value of the warrant liabilities was estimated using Black-Scholes model. Inherent in these valuations are assumptions related to expected stock-price volatility, expected life, risk-free interest rate and dividend yield. The Company estimates the volatility of its common stock based on historical and implied volatilities of selected peer companies as well as its own that matches the expected remaining life of the warrants. The risk-free interest rate is based on the U.S. Treasury zero-coupon yield curve on the grant date for a maturity similar to the expected remaining life of the warrants. The expected life of the warrants is assumed to be equivalent to their remaining contractual term. The dividend rate is based on the historical rate, which the Company anticipates remaining at zero.

The following table provides quantitative information regarding Level 3 fair value measurements inputs for the Company’s warrants at their measurement dates:


	As of December 31,		As of December 31,		As of March 18,
	2022		2021		2021
Volatility	35.77	%	32.52	%	31.26	%
Stock price	5.16		0.90		6.58
Expected life of the warrants to convert	3.72		4.72		5.50
Risk free rate	4.17	%	1.27	%	1.09	%
Dividend yield	0.0	%	0.0	%	0.0	%

EARNINGS PER SHARE - Computation of basic and diluted loss per common share (Details)						12 Months Ended
	May 24, 2023 USD ($)	Mar. 21, 2023 USD ($)	May 24, 2022 USD ($)	May 11, 2022	Jul. 06, 2019	Dec. 31, 2022 USD ($) $ / shares shares	Dec. 31, 2021 USD ($) $ / shares shares	Dec. 31, 2020 USD ($) $ / shares shares	May 23, 2023 USD ($)	Mar. 20, 2023 USD ($)	Mar. 06, 2023 USD ($)	Mar. 05, 2023 USD ($)	May 25, 2022 USD ($)	May 23, 2022 USD ($)
EARNINGS PER SHARE
Net (Loss) Income						$ (23,738,837)	$ (6,747,453)	$ 6,944,691
Weighted average number of ordinary share outstanding
Weighted average number of ordinary share outstanding, Basic \| shares						1,534,487	1,459,390	1,062,502
Weighted average number of ordinary share outstanding, Diluted \| shares						1,534,487	1,459,390	1,062,502
(Loss) Earnings per share, Basic \| $ / shares						$ (15.47)	$ (4.62)	$ 6.54
(Loss) Earnings per share, Diluted \| $ / shares						$ (15.47)	$ (4.62)	$ 6.54
Share consolidation ratio	3.2	6	3.2	3.2	20
Authorized capital	$ 60,000	$ 60,000	$ 60,000						$ 50,000	$ 50,000	$ 60,000	$ 50,000	$ 50,000	$ 50,000
Dilutive stocks						$ 0	$ 0	$ 0

INTANGIBLE ASSETS, NET (Details) - USD ($)	12 Months Ended
INTANGIBLE ASSETS, NET (Details) - USD ($)	Dec. 31, 2022	Dec. 31, 2021	Dec. 31, 2020
Finite-Lived Intangible Assets, Net [Abstract]
Less: accumulated amortization	$ (238,016)	$ (122,696)
Intangible assets, net	558,226	775,603
Proceeds from disposal of intangible assets			$ 1,245,619
Gain (loss) on disposal of intangible assets			639,792
Amortization expense	175,807	76,666	$ 212,976
Copy rights
Finite-Lived Intangible Assets, Net [Abstract]
Intangible assets, gross	752,288	814,217
Software
Finite-Lived Intangible Assets, Net [Abstract]
Intangible assets, gross	$ 43,954	$ 84,082

CONTINGENCIES (Details) - USD ($)		12 Months Ended
CONTINGENCIES (Details) - USD ($)	Jul. 25, 2019	Dec. 31, 2022	Dec. 31, 2021	Dec. 31, 2020
CONTINGENCIES
Restricted cash			$ 4,131,313	$ 3,695,598
Net income (loss)		$ (23,738,837)	(6,747,453)	6,944,691
Revenues		$ 2,415,098	$ 3,911,560	$ 11,911,229
Beijing Baosheng
CONTINGENCIES
Percentage of equity interest frozen	100.00%
Horgos Baosheng
CONTINGENCIES
Percentage of equity interest frozen		100.00%	100.00%
Restricted cash		$ 4,131,313
Kashi Baosheng
CONTINGENCIES
Restricted cash			$ 3,695,598

- Definition

The portion of profit or loss for the period, net of income taxes, which is attributable to the parent.

ACCOUNTS RECEIVABLE, NET - Accounts receivable, net of provision (Details) - USD ($)	12 Months Ended
	Dec. 31, 2022	Dec. 31, 2021	Dec. 31, 2020
Accounts Receivable, net of provisions
Accounts receivable	$ 47,783,610	$ 62,789,964
Less: provision for doubtful accounts	(17,681,792)	(6,426,781)
Accounts receivable, net of provision for doubtful accounts	32,101,818	56,363,183
Provisions for doubtful accounts	$ 19,276,587	$ 4,155,246	$ 1,960,604