Condensed Consolidated Statement of Cash Flows (Unaudited) - USD ($)
|
6 Months Ended |
Jun. 30, 2023 |
Jun. 30, 2022 |
| Cash flows from operating activities: |
|
|
| Net loss |
$ (13,460,074)
|
$ (23,454,716)
|
| Adjustments to reconcile net loss to net cash used in operating activities: |
|
|
| Loss on impairment of intangible assets |
4,004,627
|
4,640,102
|
| Loss on impairment of goodwill |
|
4,788,268
|
| Loss on impairment of property, plant and equipment |
7,661
|
|
| Depreciation and amortization |
1,011,231
|
1,071,172
|
| Non-cash lease expense |
|
196,938
|
| Purchase commitment and license liability interest accretion |
396,547
|
|
| Stock-based compensation |
770,536
|
591,603
|
| Changes in the fair value of stock warrants |
(423,403)
|
|
| Sales return and price protection reserves |
280,000
|
1,098,397
|
| Changes in assets and liabilities: |
|
|
| Accounts receivable |
512,452
|
2,877,935
|
| Due from related parties |
(473,136)
|
|
| Operating lease liabilities |
(22,723)
|
(194,117)
|
| Prepaid expenses and other assets |
13,772
|
(572,926)
|
| Accounts payable |
(1,498,530)
|
(1,455,211)
|
| Due to related parties |
2,282
|
|
| Other non-current liabilities |
|
(475,927)
|
| Accrued expenses and other liabilities |
28,596
|
(1,160,816)
|
| Net cash used in operating activities |
(8,850,162)
|
(12,049,298)
|
| Cash flows from investing activities: |
|
|
| Purchase of property and equipment |
(24,437)
|
(196,346)
|
| Net cash used in investing activities |
(24,437)
|
(196,346)
|
| Cash flows from financing activities: |
|
|
| Advances from related parties |
|
143,517
|
| Repayments on advances from related parties |
|
(24,913)
|
| Repayments of purchase commitment liabilities |
(550,000)
|
(1,000,000)
|
| Payment of license liabilities |
(262,500)
|
(100,000)
|
| Issuance of common stock from stock purchase commitment agreement |
644,750
|
|
| Issuance of common stock from registered direct offerings |
10,404,784
|
|
| Net cash provided by (used in) financing activities |
10,237,034
|
(981,396)
|
| Effect of exchange rate changes on cash and cash equivalents |
(375,188)
|
630,451
|
| Net increase (decrease) in cash and cash equivalents |
987,247
|
(12,596,589)
|
| Total cash and cash equivalents at beginning of the period |
979,306
|
17,819,640
|
| Total cash and cash equivalents at the end of the period |
1,966,553
|
5,223,051
|
| Cash paid during the year for: |
|
|
| Interest |
399,231
|
|
| Non-cash investing and financing activities: |
|
|
| Shares issued to Motorsport Network LLC for extinguishment of related party loan |
3,948,566
|
|
| Extinguishment of Motorsport Network LLC related party loan for Class A shares |
(3,948,566)
|
|
| Issuance of warrants in connection with registered direct offerings |
54,597
|
|
| Purchase commitment liability |
|
$ 29,681
|