Core Viewpoint - Sky Quarry Inc. is advancing its partnership with Continuum Network to create a framework for tokenizing energy-linked commodities, aiming to enhance capital access and operational efficiency [1][2][4]. Group 1: Partnership and Tokenization Framework - The collaboration with Continuum Network focuses on establishing a digital infrastructure for tokenizing energy-linked commodities, which includes launching a token creation process and a functional exchange interface [2]. - Tokenization will allow investors to have clear claims tied directly to tangible assets, rather than traditional company stock, thereby enhancing transparency and efficiency in capital raising [3][4]. Group 2: Market Context and Opportunities - The global proven crude reserves are approximately 1.567 trillion barrels, representing a significant untapped asset value that can be unlocked through tokenization [7]. - If 10-15% of producing reserves and 5% of undeveloped reserves were tokenized, it could potentially unlock $750 billion to $1 trillion in global liquidity [9][10]. Group 3: Financial Strategy and Implementation - Sky Quarry plans to sell tokens tied to its oil assets, priced based on current market oil prices, and use these tokens as collateral for crude oil purchases, thereby creating liquidity without diluting equity or incurring additional debt [6][11]. - The company aims to market its tokenization products to the energy sector, leveraging its own assets as a demonstration platform [21]. Group 4: Regulatory and Compliance Considerations - To ensure regulatory clarity, Sky Quarry will maintain a clear distinction between equity and token purchases, allowing investors to choose between traditional equity transactions and token investments [5]. - Successful tokenization will require rigorous execution to mitigate valuation, governance, and compliance risks as the market scales [14][18].
Sky Quarry and Continuum Move Closer to Launching Real-World Asset Tokens and Exchange Platform