What changed in this filing

/stocks — the workspaceLOADING

Item 5. Market for Registrant’s Common Equity

2022-03-30 compared with 2021-08-16 · 70 added, 540 removed, 1 unchanged (100% of the section changed)

MARKET FOR REGISTRANT’S

COMMON EQUITY, RELATED STOCKHOLDER MATTERS AND ISSUER PURCHASES OF EQUITY SECURITIES.

Market Information

There is a limited public

market for our common shares.

Our Common Stock has been trading on the Over-the-Counter (“OTC”) Markets OTCQB under the symbol

“GTVI”

since September 11, 2009.

Trading in stocks quoted on the OTC Markets is often thin and is characterized by wide

fluctuations in trading prices due to many factors that may be unrelated to a company’s operations or business prospects.

assure you that there will be a market in the future for our common stock.

The OTC Markets is a quotation

service that displays real-time quotes, last-sale prices, and volume information in over-the-counter, or the OTC, equity securities, and

may not necessarily represent actual transactions.

OTCQB securities are not listed or traded on the floor of an organized

national or regional stock exchange.

Instead, OTCQB securities transactions are conducted through a telephone and computer network connecting

dealers in stocks.

OTCQB issuers are traditionally smaller companies that do not meet the financial and other listing requirements of

a regional or national stock exchange.

Holders of Our Common Stock

MARKET FOR REGISTRANT’S COMMON EQUITY, RELATED STOCKHOLDER MATTERS AND ISSUER PURCHASES OF EQUITY SECURITIES.

is a limited public market for our common shares.

Our Common Stock has been trading on the Over-the-Counter (“OTC”) Markets

under the symbol “GTVI” since September 11, 2009.

It is currently on the OTC Pink Markets.

quoted on the OTC Markets

is often thin and is characterized by wide fluctuations in trading prices due to many factors that may be unrelated to a company’s

operations or business prospects.

We cannot assure you that there will be a market in the future for our common stock.

OTC Markets is a quotation service that displays real-time quotes, last-sale prices, and volume information in over-the-counter, or the

OTC, equity securities, and may not necessarily represent actual transactions.

securities are not listed or traded on the floor of an organized national or regional stock exchange.

Instead, OTC securities transactions

are conducted through a telephone and computer network connecting dealers in stocks.

OTC issuers are traditionally smaller companies

that do not meet the financial and other listing requirements of a regional or national stock exchange.

of Our Common Stock

of December 31, 2021, we had 430 shareholders of record of our common stock.

holders of common stock are entitled to one vote for each share held of record on all matters submitted to a vote of stockholders.

of the common stock have no preemptive rights and no right to convert their common stock into any other securities.

There are no redemption

or sinking fund provisions applicable to the common stock.

In January 2021, the Company

distributed an aggregate amount of $119,070 at the price of $0.045 per share to all its shareholders other than Crystal Globe, which represents

2,646,000 shares of our common stock.

Said amount represented the Merger Consideration paid to the Company in connection with the Merger

described in “Item 1.

Entry into a Material Definitive Agreement”

Since the remaining 17,408,000 shares of our common

stock is owned by Crystal Globe, the $0.045 per share payment for the 17,408,000 shares is offset.

Except for above, we have

not paid dividends on our common stock and do not anticipate paying such dividends in the foreseeable future.

The declaration of any future

cash dividends is at the discretion of our Board and depends upon our earnings, if any, our capital requirements and financial position,

our general economic conditions, and other pertinent conditions.

It is our present intention not to pay any cash dividends in the foreseeable

future, but rather to reinvest earnings, if any, in our business operations.

Stock Option Grants

To date, we have not granted

any stock options.

Registration Rights

We have not granted registration

rights to any person.

Recent Sales of Unregistered Securities

Securities authorized for issuance under equity compensation

In 2020 and 2019, we have

not granted any securities authorized for issuance under equity compensation plans.

Penny Stock Regulations

Our shares of common stock

are subject to the “penny stock”

rules of the Securities Exchange Act of 1934 and various rules under this Act.

terms, “penny stock”

is defined as any equity security that has a market price less than $5.00 per share, subject to certain

The rules provide that any equity security is considered to be a penny stock unless that security is registered and traded

on a national securities exchange meeting specified criteria set by the SEC, issued by a registered investment company, and excluded from

the definition on the basis of price (at least $5.00 per share), or based on the issuer’s net tangible assets or revenues.

last case, the issuer must meet one of the following requirements:

(i) net tangible assets must exceed $3,000,000 if the issuer has

been in continuous operation for at least three years;

or (ii) net tangible assets must exceed $5,000,000 if the issuer has been

in operation for less than three years;

or (iii) the issuer’s average revenues for each of the past three years must exceed

Trading in shares of penny

stock is subject to additional sales practice requirements for broker-dealers who sell penny stocks to persons other than established

customers and accredited investors.

Accredited investors, in general, include individuals with assets in excess of $1,000,000 or annual

income exceeding $200,000 (or $300,000 together with their spouse), and certain institutional investors.

For transactions covered by these

rules, broker-dealers must make a special suitability determination for the purchase of the security and must have received the purchaser’s

written consent to the transaction prior to the purchase.

Additionally, for any transaction involving a penny stock, the rules require

the delivery, prior to the first transaction, of a risk disclosure document relating to the penny stock.

A broker-dealer also must disclose

the commissions payable to both the broker-dealer and the registered representative, and current quotations for the security.

monthly statements must be sent disclosing recent price information for the penny stocks.

These rules may restrict the ability of broker-dealers

to trade or maintain a market in our common stock, to the extent it is penny stock, and may affect the ability of shareholders to sell

their shares.

SELECTED FINANCIAL DATA.

We are a smaller Reporting

company as defined by Rule 229.10(f)(1) and are not required to provide information under this item.

MANAGEMENT’S DISCUSSION

AND ANALYSIS OF FINANCIAL CONDITION AND RESULTS OF OPERATION.

The following discussion

should be read in conjunction with our consolidated financial statements and notes to those consolidated financial statements, included

elsewhere in this prospectus.

This discussion contains forward-looking statements that involve risks and uncertainties.

Our actual results

and the timing of selected events could differ materially from those anticipated in these forward-looking statements as a result of various

factors, including those set forth under “Risk factors”

and elsewhere in this prospectus.

FORWARD-LOOKING STATEMENTS:

Certain statements made in

this Report may constitute “forward-looking statements on our current expectations and projections about future events.”

forward-looking statements involve known or unknown risks, uncertainties and other factors that may cause our actual results, performance,

or achievements to be materially different from any future results, performance or achievements expressed or implied by the forward-looking

In some cases you can identify forward-looking statements by some words such as “may,”

“should,”

“potential,”

“continue,”

“expects,”

“anticipates,”

“intends,”

“plans,”

“believes,”

“estimates,”

and similar expressions.

These statements are based on our current beliefs, expectations, and assumptions and

are subject to a number of risks and uncertainties.

Although we believe that the expectations reflected in the forward-looking statements

are reasonable, we cannot guarantee future results, levels of activity, performance or achievements.

These forward-looking statements

are made as of the date of this Report, and we assume no obligation to update these forward-looking statements whether as a result of

new information, future events, or otherwise, other than as required by law.

In light of these assumptions, risks, and uncertainties,

the forward-looking events discussed in this Report might not occur and actual results and events may vary significantly from those discussed

in the forward-looking statements.

We are incorporated in the

state of Nevada.

Prior to the consummation of the Merger as of December 31, 2020, we, through our PRC Operating Entities, were engaged

in the manufacture, distribution and sales of tourmaline-related healthcare products, including knit goods, daily healthcare and personal

care products, and wellness house and activated water machine products, that were coated, embedded or filled with tourmaline.

our products, such as clothing, bedding, and mattresses are purchased as finished products which we then coated and/or infused with liquid

or granular tourmaline using one or more of our manufacturing techniques.

We conducted all of our operations in Tianjin City, China and

distributed most of our products to 49 franchisees in China as of December 31, 2020.

Our franchisees, in turn, sell the products to their

All of our revenues as of December 31, 2020 have been generated by sales to customers located in the PRC and reported as part

of loss from operations of discontinued component.

Beginning in 2009, we developed

a franchise network to distribute our healthcare knit goods, daily healthcare products and personal care products.

Through these franchisees,

we were able to significantly increase sales of our healthcare knit goods segment and daily healthcare and personal care segment.

we began distributing our wellness house and activated water machine products through our franchise network.

As of December 31, 2020,

we had 49 franchisees compared to 82 as of December 31, 2019.

However, after the consummation of the Merger, we became a shell company

as of December 31, 2020 and maintained no franchisee after then.

We are a holding company with

no material operations of our own.

Prior to the consummation of the Merger as of December 31, 2020, all of our operations were conducted

through Joway Shengshi and its three subsidiaries, Joway Technology, Joway Decoration and Shengtang Trading.

Joway Shengshi engaged in

the manufacture and distribution of tourmaline health-related products such as knit goods, and daily healthcare and personal care products.

Joway Technology and Joway Decoration engaged in the manufacture and distribution of activated water machines and wellness houses.

utilized our Shengtang Trading subsidiary to purchase raw materials, which were then sold to Joway Shengshi and Joway Decoration.

As a holding company, our

ability to pay dividends and other cash distributions to our shareholders prior to the consummation of the Merger depended in part upon

dividends and other distributions paid to us by our PRC subsidiaries.

The amount of dividends paid by our PRC subsidiaries to us primarily

depended on the service fees paid to our PRC subsidiaries from Joway Shengshi and its subsidiaries, and, to a lesser degree, our PRC subsidiaries’

retained earnings.

Conducting our operations through contractual arrangements with Joway Shengshi and its subsidiaries had a risk that

we may lose the power to direct the activities that most significantly affect the economic performance of Joway Shengshi and its subsidiaries,

which may result in our being unable to consolidate their financial results with our results and may impair our access to their cash flow

from operations and thereby reduce our liquidity.

On November 20, 2020, Joway

Health entered into a Merger Agreement with Dynamic Elite, Crystal Globe and Merger Sub.

The Merger Agreement provides that, upon the

terms and subject to the satisfaction or waiver of the conditions set forth therein, Merger Sub will be merged with and into Dynamic Elite

(the “Merger”), with Dynamic Elite continuing as the surviving corporation as a wholly-owned subsidiary of Crystal Globe.

The special committee of the Board of Directors of the Company unanimously approved the Merger Agreement and the transactions contemplated

Pursuant to the terms of the

Merger Agreement dated November 20, 2020, as of December 31, 2020, the Effective Time of the Merger, the 10,000 ordinary shares of common

stock of Dynamic Elite issued and outstanding immediately which were held by the Company, were cancelled.

In accordance with the Merger

Agreement, Crystal Globe has offered to pay cash consideration of $0.045 per share for the outstanding shares of the common stock of the

Company as Merger Consideration.

As of November 20, 2020, the Company had 20,054,000 shares of common stock outstanding.

The Company is obligated to

distribute the Merger Consideration to its shareholders in an amount equal to such shareholder’s proportionate share of the Merger

Consideration based on such shareholders’

percentage of the outstanding common stock of the Company In January 2021, the Company

distributed an aggregate amount of $119,070 at $0.045 per share to its shareholders other than Crystal Globe, which represents 2,646,000

shares of our common stock.

Said amount represented the Merger Consideration paid to the Company in connection with the Merger.

the remaining 17,408,000 shares of our common stock is owned by Crystal Globe, the $0.045 per share payment for the 17,408,000 shares

As a result of the consummation

of the Merger, we became a shell company as of December 31, 2020.

Going Concern Uncertainties

The accompanying consolidated

financial statements have been prepared assuming that the Company will continue as a going concern, which contemplates the realization

of assets and the discharge of liabilities in the normal course of business for the foreseeable future.

As reflected in the accompanying

consolidated financial statements, for the years ended December 31, 2020 and 2019, we incurred net losses of $2.3 million and $1.2 million,

respectively.

In addition, we reported cash out flow of $0.2 million and $0.1 million from our continuing operating activities for the

years ended December 31, 2020 and 2019, respectively.

As of December 31, 2020, we had an accumulated deficit of $7.2 million.

believes these factors raise substantial doubt about our ability to continue as a going concern for the next twelve months.

The continuation of our company

as a going concern through the next twelve months is dependent upon (1) the continued financial support from our stockholders or external

Management believes that our existing stockholders will provide the additional cash to meet our obligations as they become

due, and (2) that it will be able to implement its business plan to expand our company’s operations and generate sufficient revenues

to meet its obligations.

These conditions raise substantial

doubt about our company’s ability to continue as a going concern.

These financial statements do not include any adjustments to reflect

the possible future effect on the recoverability and classification of assets or the amounts and classifications of liabilities that may

result from the outcome of these uncertainties.

Management believes that the actions presently being taken to obtain additional funding

and implement its strategic plan provides the opportunity for our company to continue as a going concern.

Important Factors Affecting our Results of Operations and Existing

Price of Raw Materials

Prior to the consummation

of the Merger as of December 31, 2020, tourmaline powder and textiles are the most important raw materials used in the production of our

The price of tourmaline powder remained stable in 2020.

The average price of textiles that we purchased and the average sales

prices of our products were stable in fiscal year 2020 and 2019.

Growth of the Chinese economy

Prior to the consummation

of the Merger, we operated our manufacturing facilities in China and derived all of our revenues from sales to customers in China.

such, economic conditions in China affected virtually all aspects of our operations, including the demand for our products, the availability

and prices of our raw materials and our other expenses.

According to the National Bureau of Statistics, China’s gross domestic product

in 2020 declined to 2.3% compared with 6.1% in 2019.

Costs of being a public company

We expect that compliance

with our obligations as a U.S.

public company will require significant management time and significantly increase our general and administrative

expenses, including insurance, legal and financial compliance costs.

Foreign currency translation

Our financial statements are

expressed in U.S.

dollars but the functional currency of our operating subsidiaries prior to the consummation of the Merger is in

Our results of operations are translated at average exchange rates during the relevant financial Reporting periods, assets and liabilities

are translated at the unified exchange rate at the end of these periods and equity is translated at historical exchange rates.

resulting from the process of translating the local currency financial statements into U.S.

dollars are included in determining comprehensive

Description of Selected Income Statement Items

Operating expenses.

total operating expenses consist of audit fee, attorney fee and general and administrative expenses.

General and administrative expenses

consist primarily of employee remuneration from directors and general office expenses.

other loss consists primarily of other loss from bank service fee.

Income taxes.

Company was established under the laws of the State of Nevada and is subject to U.S.

federal income tax and Nevada Annual Reporting requirements.

Results of Operations

The following table sets forth

certain information regarding our results of operations.

For the year ended

OPERATING EXPENSES

LOSS FROM OPERATIONS

OTHER LOSS, NET

LOSS BEFORE INCOME TAXES

NET LOSS FROM CONTINUING OPERATIONS

Year Ended December 31, 2020 Compared to December

Operating expenses.

ended December 31, 2020, our total operating expenses was $222,607, increased by $104,161, or 87.9%, from $118,446 for the year ended

December 31, 2019.

This increase was mainly due to the increase of attorney fee, as a result of the Merger.

Loss from operations.

of the foregoing, our loss from operations was $222,607 for the year ended December 31, 2020, compared to $118,446 for the year ended

December 31, 2019.

This was mainly due to the increase in operating expenses.

Income taxes.

Our income tax expenses

did not incur for the years ended December 31, 2020 and 2019.

Net loss from continuing operations.

the year ended December 31, 2020, our net loss was $222,859 compared to $118,583 for the year ended December 31, 2019.

The increased loss

was primarily due to the increased operating expenses.

Operating loss from discontinued operations.

As of December 31, 2020, we sold all of our subsidiaries and VIEs to Crystal Globe, one of our major shareholders.

With a result,

operating results from our subsidiaries and VIEs during the years ended December 31, 2020 and 2019 were reported as part of loss from

operations of our discontinued component.

For the year ended December 31, 2020, revenue

from our discontinued operations was $225,419 compared to $609,174 for the year ended December 31, 2019, a decrease of $383,755, or 63%.

This decrease was mainly due to the downturn of the health care industry in China.

For the year ended December 31, 2020, cost of

goods sold from our discontinued operations was $117,632 compared to $295,705 for the year ended December 31, 2019, a decrease of $178,073,

This decrease was mainly due to the decrease in sales.

Liquidity and Capital Resources

We do not have cash at the beginning and the end

of the year ended December 31, 2020.

Our cash flow information summary is as follows:

For the year ended

Net cash provided by (used in):

Operating activities

Investing activities

Financing activities

Net Cash Used in Operating Activities

Net cash used in operating activities was $564,761

for the year ended December 31, 2020, which included cash used in the discontinued operations of $382,246, compared to $772,117 for the

year ended December 31, 2019, which included cash used in the discontinued operations of $664,534.

This was mainly due to an increase

of $104,276 in net loss from our continuing operations.

For the year of 2020, cash was mainly used to

cover the loss from continuing operations of $222,859.

For the year of 2019, cash was mainly used to

cover the loss from continuing operations of $118,583.

Net Cash Used in Investing Activities

Net cash used in investing activities was $79,446

for the year ended December 31, 2020, compared to $89,472 for the year ended December 31, 2019.

No cash provided by (used in) our continuing

operations for the years ended December 31, 2020 and 2019.

The net cash out flow from our investing activities in 2020 and 2019 was from

our discontinued operations.

Net Cash Provided by Financing Activities

Net cash provided by financing activities was

$607,077 for the year ended December 31, 2020, which included cash provided by the discontinued operations of $424,562, compared to $836,529

for the year ended December 31, 2019, which included cash provided by the discontinued operations of $728,946.

Since the Company has no cash, Mr.

Jinghe Zhang,

our President, Chief Executive Officer and director, agreed to advance operating capital to the Company.

During the years of 2020 and

2019, we received $158,930 and $55,625, respectively, of these advances.

As of December 31, 2020, the total unpaid principal balance due

Jinghe Zhang for advances was $233,693.

Joway Shengshi, a company of the discontinued

operations, was owned 99% of the equity interest by Mr.

Jinghe Zhang.

During the years of 2020 and 2019, we received $23,585 and $51,958

of advances from Joway Shengshi, respectively.

As of December 31, 2020, the total unpaid principal balance due to Joway Shengshi for advances

was $459,853.

Off Balance Sheet Items

Under SEC regulations, we

are required to disclose off-balance sheet arrangements that have or are reasonably likely to have a current or future effect on our financial

condition, such as changes in financial condition, revenues or expenses, results of operations, liquidity, capital expenditures or capital

resources that are material to investors.

An off-balance sheet arrangement means a transaction, agreement or contractual arrangement to

which any entity that is not consolidated with us is a party, under which we have:

obligation under certain guarantee contracts,

retained or contingent interest in assets transferred to an unconsolidated entity or similar arrangement that serves as credit, liquidity

or market risk support to that entity for such assets,

obligation under a contract that would be accounted for as a derivative instrument, except that it is both indexed to our stock and classified

in shareholder equity in our statement of financial position, and

obligation arising out of a material variable interest held by us in an unconsolidated entity that provides financing, liquidity, market

risk or credit risk support to us, or engages in leasing, hedging or research and development services with us.

We do not have any off-balance

sheet arrangements that we are required to disclose pursuant to these regulations.

In the ordinary course of business, we enter into operating

lease commitments, purchase commitments and other contractual obligations.

These transactions are recognized in our financial statements

in accordance with generally accepted accounting principles in the United States.

Critical Accounting Policies

Management’s discussion

and analysis of its financial condition and results of operations are based upon our consolidated financial statements, which have been

prepared in accordance with accounting principles generally accepted in the United States.

Our financial statements reflect the selection

and application of accounting policies which require management to make significant estimates and judgments.

Management bases its estimates

on historical experience and on various other assumptions that are believed to be reasonable under the circumstances.

Actual results may differ

from these estimates under different assumptions or conditions.

We believe that the following reflect the more critical accounting policies

that currently affect our financial condition and results of operations.

Going Concern

The accompanying consolidated

financial statements have been prepared assuming that the Company will continue as a going concern, which contemplates the realization

of assets and the discharge of liabilities in the normal course of business for the foreseeable future.

As reflected in the accompanying

consolidated financial statements, for the years ended December 31, 2020 and 2019, we incurred net losses of $2.3 million and $1.2 million,

respectively.

In addition, we reported cash out flow of $0.2 million and $0.1 million from our continuing operating activities for the

years ended December 31, 2020 and 2019, respectively.

As of December 31, 2020, we had an accumulated deficit of $7.2 million.

believes these factors raise substantial doubt about our ability to continue as a going concern for the next twelve months.

The continuation of our company

as a going concern through the next twelve months is dependent upon (1) the continued financial support from our stockholders or external

Management believes that our existing stockholders will provide the additional cash to meet our obligations as they become

due, and (2) that it will be able to implement its business plan to expand our company’s operations and generate sufficient revenues

to meet its obligations.

These conditions raise substantial

doubt about our company’s ability to continue as a going concern.

These financial statements do not include any adjustments to reflect

the possible future effect on the recoverability and classification of assets or the amounts and classifications of liabilities that may

result from the outcome of these uncertainties.

Management believes that the actions presently being taken to obtain additional funding

and implement its strategic plan provides the opportunity for our company to continue as a going concern.

Basis of Presentation

The accompanying consolidated

financial statements have been prepared in conformity with accounting principles generally accepted in the United States of America (“US

GAAP”).

The Company’s functional currency is the Chinese Renminbi (“RMB”);

however, the accompanying consolidated

financial statements have been translated and presented in United States Dollars (“USD”).

All significant inter-company transactions

and balances have been eliminated.

The consolidated financial statements include all adjustments that, in the opinion of management, are

necessary to make the financial statements not misleading.

Use of Estimates

The preparation of the consolidated

financial statements is in conformity with generally accepted accounting principles in the United States of America, which require management

to make estimates and assumptions that affect the reported amounts of assets and liabilities and disclosure of contingent assets and liabilities

at the date of the consolidated financial statements and the reported amounts of revenues and expenses during the reporting periods.

makes these estimates using the best information available at the time the estimates are made.

Actual results could differ from those

Reclassification

Certain prior year balances

were reclassified to conform to the current year’s presentation with consideration of reflecting all of the Company’s subsidiaries

and VIEs as discontinued operations.

None of these reclassifications had an impact on reported financial position or cash flows for any

of the periods presented.

Basis of Consolidation

For the periods prior to the

sale of Dynamic Elite, its subsidiaries, and controlled VIEs, the Company consolidated financial statements include Dynamic Elite, its

wholly owned subsidiaries, and controlled VIEs.

All significant inter-company accounts and transactions have been eliminated in the consolidation.

Foreign Currencies Translation

Transactions denominated in

currencies other than the functional currency are translated into the functional currency at the exchange rates prevailing at the dates

of the transaction.

Monetary assets and liabilities denominated in currencies other than the functional currency are translated into the

functional currency using the applicable exchange rates at the balance sheet dates.

The resulting exchange differences are recorded in

the statement of operations.

The reporting currency of our company is the United States Dollar (“US$”).

Our subsidiaries in

the PRC maintain their books and records in their local currency, the Renminbi Yuan (“RMB”), which is the functional currency

as it is the primary currency of the economic environment in which these entities operate.

In general, for consolidation

purposes, assets and liabilities of its subsidiaries whose functional currency is not the US$ are translated into US$, in accordance with

ASC Topic 830-30, “Translation of Financial Statement”, using the exchange rate on the balance sheet date.

Revenues and expenses

are translated at average rates prevailing during the period.

The gains and losses resulting from translation of financial statements

of foreign subsidiaries are recorded as a separate component of accumulated other comprehensive income within the statement of stockholders’

Other Comprehensive Income

Other comprehensive income

is defined as the change in equity during the period from transactions and other events, excluding the changes resulting from investments

by owners and distributions to owners.

Other comprehensive income is not included in the computation of income tax expense or benefit.

Accumulated other comprehensive income represents the accumulated balance of foreign currency translation adjustments.

Fair Value of Financial Instruments

Financial Accounting Standards

Board (“FASB”) Accounting Standards Codification (“ASC”) 820 (formerly Statement of Financial Accounting Standard

(“SFAS”) No.

157 Fair Value Measurements) establishes a three-tier fair value hierarchy, which prioritizes the inputs used

in measuring fair value as the following:

Level 1—defined as observable inputs such as quoted prices in active markets for identical assets or liabilities;

Level 2—defined as inputs other than quoted prices in active markets that are either directly or indirectly observable;

Level 3—defined as unobservable inputs in which little or no market data exists, therefore requiring an entity to develop its own assumptions.

The carrying amounts reported

in the balance sheets for cash, accounts receivable, other receivable, accounts payable, other payable, and amounts due from related parties

generally approximate their fair market values based on the short-term maturity of these instruments.

ASC 825-10 “Financial Instruments”

allows entities to voluntarily choose to measure certain financial assets and liabilities at fair value (fair value option).

value option may be elected on an instrument-by-instrument basis and is irrevocable, unless a new election date occurs.

If the fair value

option is elected for an instrument, unrealized gains and losses for that instrument should be reported in earnings at each subsequent

reporting date.

The Company did not elect to apply the fair value option to any outstanding instruments.

Revenue Recognition

The Company recognizes revenue

when control of promised goods or services is transferred to the company’s customers, in an amount that reflects the consideration

the Company expects to be entitled to in exchange for those goods or services.

Prior to the Merger Agreement,

with respect to sales of product to both franchisee and non-franchisee customers, the Company transfers control, invoices the customer

and recognizes revenue upon shipment to the customer.

Sales prices are based on fixed price lists that are different depending on whether

the price list is for franchisee customers or for non-franchisee customers.

Sales, value add and other taxes collected concurrent with

revenue-producing activities are excluded from revenue.

The Company accounts for income

taxes in accordance with FASB ASC 740 “Income Taxes”

(formerly SFAS No.

109 Accounting for Income Taxes) , which is

an asset and liability approach that requires the recognition of deferred tax assets and liabilities for the expected future tax consequences

of events that have been recognized in the Company’s financial statements or tax returns.

ASC 740 additionally requires the establishment

of a valuation allowance to reflect the likelihood of realization of deferred tax assets.

Realization of deferred tax assets is dependent

upon future earnings, if any, of which the timing and amount are uncertain.

According to ASC 740, the

evaluation of a tax position is a two-step process.

The first step is to determine whether it is more likely than not that a tax position

will be sustained upon examination, including the resolution of any related appeals or litigation based on the technical merits of that

The second step is to measure a tax position that meets the more-likely-than-not threshold to determine the amount of benefit

to be recognized in the financial statements.

A tax position is measured at the largest amount of benefit that is greater than 50% likelihood

of being realized upon ultimate settlement.

Tax positions that previously failed to meet the more-likely-than-not recognition threshold

should be recognized in the first subsequent period in which the threshold is met.

Previously recognized tax positions that no longer

meet the more-likely-than-not criteria should be de-recognized in the first subsequent financial reporting period in which the threshold

is no longer met.

ASC 740 also provides guidance on de-recognition, classification, interest and penalties, accounting in interim periods,

disclosures, and transition.

Basic and Diluted Earnings per Share

The Company reports earnings

per share in accordance with FASB ASC 260 “Earnings per share”.

The Company’s basic earnings per share are computed

using the weighted average number of shares outstanding for the periods presented.

Diluted earnings per share are computed based on the

assumption that any dilutive options or warrants were converted or exercised.

Dilution is computed by applying the treasury stock method.

Under this method, the Company’s outstanding stock warrants are assumed to be exercised, and funds thus obtained were assumed to

be used to purchase common stock at the average market price during the period.

There were no dilutive instruments outstanding during

the years ended December 31, 2020 and 2019.

Recent Accounting Pronouncements

In June 2016, the FASB issued

2016-13, Financial Instruments-Credit Losses (Topic 326), which requires entities to measure all expected credit losses for financial

assets held at the Reporting date based on historical experience, current conditions, and reasonable and supportable forecasts.

This replaces

the existing incurred loss model and is applicable to the measurement of credit losses on financial assets measured at amortized cost.

This guidance is effective for fiscal years, and interim periods within those fiscal years, beginning after December 15, 2019.

Early application

will be permitted for all entities for fiscal years, and interim periods within those fiscal years, beginning after December 15, 2018.

The Company has completed its assessment of the new standard as of December 31, 2019 and concluded that the adoption will not have a material

impact on its consolidated financial statements.

In August 2018, the FASB issued

Accounting Standard Update (“ASU”) No.

2018-13, Fair Value Measurement (Topic 820), which modifies the disclosure requirements

on fair value measurements in Topic 820, Fair Value Measurement, including, among other changes, the consideration of costs and benefits

when evaluating disclosure requirements.

For public companies, the amendments are effective for annual reporting periods beginning after

December 15, 2019, including interim periods within those annual periods.

Early adoption is permitted.

The Company is currently assessing

the impact that adopting this new accounting guidance will have on the Company’s financial statements and footnote disclosures.

In December 2019, the FASB

issued ASU No.

2019-12, Income Taxes (Topic 740):

Simplifying the Accounting for Income Taxes (“ASU 2019-12”), which is intended

to simplify various aspects related to accounting for income taxes.

ASU 2019-12 removes certain exceptions to the general principles in

Topic 740 and also clarifies and amends existing guidance to improve consistent application.

This guidance is effective for fiscal years,

and interim periods within those fiscal years, beginning after December 15, 2020, with early adoption permitted.

The Company is currently

evaluating the impact of this standard on its consolidated financial statements and related disclosures.

Other accounting standards

that have been issued or proposed by the FASB or other standards-setting bodies that do not require adoption until a future date are not

expected to have a material impact on the Company’s consolidated financial statements upon adoption.

QUANTITATIVE AND QUALITATIVE DISCLOSURES ABOUT MARKET

Not applicable.

FINANCIAL STATEMENTS AND SUPPLEMENTARY DATA.

The audited financial statements

of Joway Health Industries Group Inc.

as of December 31, 2020 and 2019 are appended to this Annual Report beginning on page F-1.

CHANGES IN AND DISAGREEMENTS WITH

ACCOUNTANTS ON ACCOUNTING AND FINANCIAL DISCLOSURE.

The holders of common stock are entitled to one vote for

each share held of record on all matters submitted to a vote of stockholders.

Holders of the common stock have no preemptive rights and

no right to convert their common stock into any other securities.

There are no redemption or sinking fund provisions applicable to the

common stock.

January 2022, we distributed a special dividend of $119,070 to our minority shareholders who represented 2,646,000 shares of our common

The special dividend distribution was made due to the Merger Agreement we made with Dynamic Elite and Crystal Globe on November

Other than the special distribution on January 2022, we do not pay dividends on our common stock and do not anticipate paying

such dividends in the foreseeable future.

The declaration of any future cash dividends is at the discretion of our Board and depends

upon our earnings, if any, our capital requirements and financial position, our general economic conditions, and other pertinent conditions.

It is our present intention not to pay any cash dividends in the foreseeable future, but rather to reinvest earnings, if any, in our

business operations.

Option Grants

date, we have not granted any stock options.

have not granted registration rights to any person.

Sales of Unregistered Securities

Authorized for Issuance under Equity Compensation Plans

2021 and 2020, we have not granted any securities authorized for issuance under equity compensation plans.

10b-18 Transactions

the year ended December 31, 2021, neither the Company nor any affiliated purchaser of the Company, purchased any equity securities of

the Company that are registered pursuant to Section 12 of the Exchange Act.

Stock Regulations

shares of common stock are subject to the “penny stock” rules of the Securities Exchange Act of 1934 and various rules under

In general terms, “penny stock” is defined as any equity security that has a market price less than $5.00 per share,

subject to certain exceptions.

The rules provide that any equity security is considered to be a penny stock unless that security is registered

and traded on a national securities exchange meeting specified criteria set by the SEC, issued by a registered investment company, and

excluded from the definition on the basis of price (at least $5.00 per share), or based on the issuer’s net tangible assets or

In the last case, the issuer must meet one of the following requirements:

(i) net tangible assets must exceed $3,000,000

if the issuer has been in continuous operation for at least three years;

or (ii) net tangible assets must exceed $5,000,000 if the

issuer has been in operation for less than three years;

or (iii) the issuer’s average revenues for each of the past three

years must exceed $6,000,000.

in shares of penny stock is subject to additional sales practice requirements for broker-dealers who sell penny stocks to persons other

than established customers and accredited investors.

Accredited investors, in general, include individuals with assets in excess of $1,000,000

or annual income exceeding $200,000 (or $300,000 together with their spouse), and certain institutional investors.

For transactions covered

by these rules, broker-dealers must make a special suitability determination for the purchase of the security and must have received

the purchaser’s written consent to the transaction prior to the purchase.

Additionally, for any transaction involving a penny stock,

the rules require the delivery, prior to the first transaction, of a risk disclosure document relating to the penny stock.

A broker-dealer

also must disclose the commissions payable to both the broker-dealer and the registered representative, and current quotations for the

Finally, monthly statements must be sent disclosing recent price information for the penny stocks.

These rules may restrict

the ability of broker-dealers to trade or maintain a market in our common stock, to the extent it is penny stock, and may affect the

ability of shareholders to sell their shares.

are a smaller reporting company as defined by Rule 229.10(f)(1) and are not required to provide information under this item.

Compared sentence by sentence after normalising whitespace, quotation marks, case and digits, so re-formatting and restated figures do not read as changed language. Wording changes appear as one removal and one addition. The current filing and the prior one are authoritative.

What changed 10-K

Item 5. Market for Registrant’s Common Equity