Private Issuance Requirements

Private Issuance Requirements.

Article 25 of the Regulation on the Registration of Issuers and Public and Private Offerings indicates that prior to the issuance of a private offering, the issuer must notify the CNAD of its intention to do so, including the following documentation and information:

1. Request containing general information about the Issuer and a description of the business. Additionally, it must include the following information: a. Issuer's name b. Issuer's Tax Identification Number c. Address d. Legal representative i. Phone number ii. Email address e. Shareholders' names i. Identification document ii. Tax Identification Number f. Administrators' names i. Identification document ii. Tax Identification Number g. Website URL h. Place to receive notifications, designation of persons commissioned for this purpose, including their phone number, email address, and address;

2. In the case of a legal entity: a. Deed of Incorporation of the company and credential of the legal representative if it is a legal entity; b. Corporate name; c. Corporate domicile; d. Full name of the legal representative or attorneys-in-fact in El Salvador, and proof of their capacity to act with the respective legal document, and their corresponding identification document (Unique Identity Document, residence card, or passport).

3. Main Economic Activity;

4. Type of Digital Asset to be issued;

5. Guarantees, if applicable;

6. General Profile of Investors;

7. Detailed list of its Potential Qualified Investors;

8. Method of registration and payment by the acquirers.

9. Audited financial statements at the close of the last 3 years of the Issuer.

10. List of Potential Qualified Investors according to letter g) of Article 25 of the Regulation on the Registration of Issuers and Public and Private Offerings, along with a copy of the file of the Due Diligence performed by the Compliance Office of the Digital Asset Service Provider.