Company: OCG
Filing Date: 2025-05-15
Form Type: 20-F
Source: 0001213900-25-043484
Chunk: 69

Company: Oriental Culture Holding LTD
Filing Date: 2025-05-15
Form: 20-F
Item: Item 5
Chunk 69
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for each collectible, artwork or commodities, or portfolio of collectibles, artwork or commodities. We recognize the related revenue upon
our completion of our performance obligation to the customer and its item is successfully listed for trading on our platforms. Our standard
listing fees for artwork and collectibles range from 3% to 8% for each of the years ended December 31, 2023 and 2022 and standard listing
fees for commodities was 3% to 8% of the initial listing value for each of 2023 and 2022. The rate is dependent on the type of listings
and is negotiated on a case-by-case basis. In 2022, we also had listing for silver coins, which the listing price is charged on per coin
basis instead of a percentage of listing value. The average listing period is approximately three months.

Total listing service fees decreased by approximately
$0.7 million or 63.3% from approximately $1.2 million for the year ended December 31, 2022 to approximately $0.5 million for the same
period in 2023. Our listing service fees are calculated based on a percentage of the listing value of collectibles, artwork and commodities
of new products. In addition, there was a decrease in listing values of approximately $19.9 million generated by new products listings
with approximately $44.9 million and $25.0 million for 2022 and 2023, respectively. The numbers of new collectibles/artwork and commodities
that were successfully listed on our platforms increased from 31 for the year ended December 31, 2022 to 135 for the year ended December
31, 2023. The decrease in the value generated by new product listings was mainly due to more low value products are newly listed which
caused by the impact from the freezing of bank accounts caused by the ongoing investigation of our related party starting in the second
half of 2022 as it was hard to keep the large clients.

(2) Transaction fee revenue: Transaction
fee revenue is generally calculated based on the transaction value of collectibles, artwork or commodities per transaction for our services
to facilitate the trading transactions. Transaction value is the dollar amount of the purchase and sale of the collectibles, artwork or
commodities after it is listed on our platform. We typically charge from 0.15% to 0.3% of the transaction value per transaction from both
the purchase and sale side of