Mr. Ben Gelfand reports

BLUESKY DIGITAL ASSETS CORP. SIGNS LOI TO ACQUIRE CHESSGOLD INC

Bluesky Digital Assets Corp. has signed a non-binding letter of intent dated July 29, 2025, with ChessGold Inc., an on-line digital game developer.

Under the terms of the LOI, the corporation has been granted a 120-day exclusive due diligence period to review the business and assets of ChessGold. Upon the successful completion of the due diligence period, the corporation will have the ability pursuant to the LOI to negotiate a definitive agreement with ChessGold to acquire 100 per cent of ChessGold's outstanding equity and equity equivalents or all of ChessGold's business.

The potential deal structure and terms of any proposed transaction will be determined at a later date, and will be negotiated between the corporation and ChessGold based on the findings and other considerations of the successful completion of the 120-day due diligence period. Any proposed transaction would be subject to customary closing conditions and necessary regulatory approvals, including, as applicable, approval of the Canadian Securities Exchange, completion of due diligence reasonable or customary in a transaction of similar nature, and entering into a definitive agreement, among other conditions.

About Bluesky Digital Assets Corp.

Bluesky Digital has created a high-value digital enterprise at the intersection of artificial intelligence, blockchain and Web3 business solutions. Leveraging its success as an early adopter providing proprietary technology solutions, Bluesky has invested in its road map. Bluesky's platform, BlueskyINTEL, is well positioned to leverage the current exponential growth of artificial-intelligence- and blockchain-based technologies through a tightly focus-built collaborative platform. This innovative Web platform offering supports and better enables businesses to adopt and utilize these emerging and developing technologies.

We seek Safe Harbor.