1.Only a “Complying Financial Institution” is eligible to maintain a trust account to hold “Próspera Labor Benefit Fund” contributions and proceeds under the Próspera Labor Statute. A Complying Financial Institution is one that complies with the regulatory requirements generally applicable to (e)Residents and Regulated Industry Persons in the Finance and Insurance Industry . 2.Only a “Qualified Insurer” is eligible to produce mandatory insurance policies for ZEDE (e)residents to secure compliance with the Próspera Financial Responsibility Statute. In addition to the regulatory compliance requirements generally applicable to (e)Residents and Regulated Industry Persons in the Finance and Insurance Industry (discussed below), securing status as a Qualified Insurer also requires: (a) acquisition and maintenance of reinsurance covering 50% of insurance policy liabilities from a Qualified Reinsurer; and (b) maintenance of 12% of all premiums received in a capital reserve account at a Qualified Financial Institution. The Próspera GSP is available as a Qualified Insurer of last resort. 3.Only a “Qualified Reinsurer” is eligible to furnish reinsurance required by Qualified Insurers to maintain their eligibility to produce mandatory insurance policies for ZEDE residents and industries. A Qualified Reinsurer must either be (a) an (e)Resident and Regulated Industry Person in the Insurance Industry or (b) a reinsurance company authorized to do business under the laws of the Republic of Honduras or any of the following Best Practice Peer Countries: Australia, Austria, Belgium, Canada, Chile, Denmark, Dubai, Estonia, Finland, France, Germany, Hong Kong, Iceland, Ireland, Israel, Italy, Japan, Korea, Luxembourg, Mexico, Netherlands, New Zealand, Norway, Poland, Singapore, Spain, Sweden, Switzerland, United Kingdom, and United States of America, including subnational governments thereof. The Próspera GSP is available as a Qualified Reinsurer of last resort. 4. Only a “Qualified Financial Institution” is eligible to maintain capital reserve accounts for Qualified Insurers. A Qualified Financial Institution must either be (a) an (e)Resident and Regulated Industry Person in the Insurance Industry or (b) a bank, trust or other financial institution authorized to do business under the laws of the Republic of Honduras or any of the following Best Practice Peer Countries: Australia, Austria, Belgium, Canada, Chile, Denmark, Dubai, Estonia, Finland, France, Germany, Hong Kong, Iceland, Ireland, Israel, Italy, Japan, Korea, Luxembourg, Mexico, Netherlands, New Zealand, Norway, Poland, Singapore, Spain, Sweden, Switzerland, United Kingdom, and United States of America, including subnational governments thereof. 5. Finance and Insurance Industry legal entities and natural person principals (who apply independent, professional or expert judgment; not ministerial servants) must elect (by filing a notice with the ZEDE personal or entity registry in connection with their residency application) to conduct their Finance and Insurance Industry operations AND/OR a specific project under any of: (a) the liability framework of U.S. common law with liability for injuries enhanced by 3x compensatory damages and personal liability for officers, directors and owners to the extent of their equity investment or past year’s compensation;

(b) good faith compliance with the applicable national and subnational Finance and Insurance Industry regulations of any of Honduras, United States of America, Australia, Austria, Belgium, Canada, Chile, Denmark, Dubai, Estonia, Finland, France, Germany, Hong Kong, Iceland, Ireland, Israel, Italy, Japan, Korea, Luxembourg, Mexico, Netherlands, New Zealand, Norway, Poland, Singapore, Spain, Sweden, Switzerland, or United Kingdom (as if the Finance and Insurance Industry legal entity and natural person principal were operating and/or the project were located therein; notice of election must also be propagated in all contractual transactions); or (c) a self-designed regulatory framework proposed in the form of a petition for consideration and adoption by Próspera ZEDE Resolution, which can be made applicable to all similarly situated legal entities and natural person principals if they so elect. Currently, only "Prospera Financial Regulation A" has been adopted under this authority. 6.Legal entities and natural person principals (who apply independent, professional or expert judgment; not ministerial servants) in the Finance and Insurance Industry must comply with the Personal Financial Responsibility Statute by obtaining insurance from a Qualified Insurer with annual loss limits of the lesser of $500,000.00 USD or 7% of annually handled funds covering liability for final awards of the default Arbitration Service Provider. If such insurance is provided by the GSP as insurer of last resort, then the annual premium must not exceed the lesser of: (a) $390,000 USD/9,000,000 Lempira or (b) 1% of a reasonable projection of aggregate funds to be handled in a fiscal year (the amount of funds handled in a given fiscal year shall be fixed at the inception of each fiscal year at the aggregate amount of funds handled in the previous fiscal year; for the first year of operations, the terms of such insurance policy shall require a detailed business plan which includes a reasonable projection of the amount of funds to be handled in its first year of operations projected on a quarterly basis and signed under oath by an officer or principal of such Regulated Industry Person, a promise to furnish the Qualified Insurer during the first year of operations with certified quarterly financial reports showing the actual amount of funds handled, and a promise by such Regulated Industry Person, backed by a personal guarantee by the principals of such Regulated Industry Person, to pay within thirty (30) days of the end of each quarter during the first year of operations an additional premium equal to 1% of the excess of the actual quarterly amount of funds handled over the aforesaid quarterly projection, if any). Further, If the GSP is required to provide such insurance as the insurer of last resort, mandatory insurance terms may be adjusted by transparent negotiation and agreement; and thereafter made available to all similarly situated insurers and insureds.