Vystar Corp Announces JV to Acquire 50% of r3alm; Issues Convertible Preferred

What Happened
Vystar Corporation announced on August 4, 2026 that it entered into a joint venture with Capital Realm, Inc. to acquire a 50% interest in r3alm, Inc., a compliance-focused AI and Web3 financial ecosystem. Under the transaction Vystar issued 8,371 shares of Series B preferred stock to Capital Realm, convertible into 8,371,000 shares of common stock (reported as 34% ownership) that fully vest upon proof of an intellectual property concept. The parties intend to jointly manage and develop the r3alm platform.

Key Details

• Agreements executed (signed August 4, 2026; dated July 28, 2026) establish the joint venture and related governance arrangements.
• Vystar issued 8,371 shares of Series B preferred stock, convertible into 8,371,000 common shares; conversion vests upon proof of IP concept.
• The preferred stock issuance to Capital Realm is claimed to be exempt from registration under Regulation D of the Securities Act.
• r3alm is described as a 22-module platform (AI + Web3) centered on digital capital formation, tokenized real-world assets, trading/treasury tools, identity/wallets and an equity-linked token called R3EQ.

Why It Matters
This is a strategic move into a Web3/financial-technology ecosystem that could create new business lines (tokenization, digital securities, AI-driven analytics) for Vystar. The issuance is non-cash consideration that, if converted, would represent a material ownership stake (the filing cites 34%), so investors should watch for the achievement of the IP milestone that triggers vesting and for any future dilution or additional financings. Also monitor regulatory developments around tokenization and digital securities, and the companies’ execution on the planned r3alm modules, since those factors will affect the potential value and timing of any benefits to Vystar.