The North American Derivatives Exchange, Inc. doing business as Crypto.com | Derivatives North America (the “Exchange” or “CDNA”) has certified a swap, which is an event contract based on the occurrence, non-occurrence, or extent of the occurrence of a specified weather event with commercial and economic consequences (the “Event Contract” or “Contract”).

The Event Contract is a financial instrument designed to express a market view related to the broad and varying financial, economic and commercial impacts of separate, discrete, and identifiable statistic(s), measure(s), metric(s), announcement(s) or other event(s) related to the weather and climate (each an “Event”).

There are broad financial, economic and commercial impacts related to the Events, with substantial micro- and macroeconomic repercussions to industries and the broader economy.

CDNA designed the Event Contracts to meet the varied and diverse hedging and market needs of commercial firms and individuals impacted by or with an economic interest in the occurrence of the Event.

The Event Contracts are traded in the centralized market of the Exchange where bids and offers are matched first by price and then time priority. There is no intervention in the trading process by the Exchange. Rather, the Event Contract trades in a competitive, open, and efficient market and mechanism for executing transactions. The trading provides a market for the price and information discovery process related to market sentiment on the Events.

The Event Contract operates in a manner equivalent to event contracts that CDNA and other designated contract markets have certified for trading.

Trading will be available at all times outside of any maintenance windows and as set forth in the Trading System, which CDNA will announce in advance. At least one dedicated market maker that is committed to providing immediate liquidity will participate upon the Event Contract’s launch.

During the Event Contract trading hours, Members are able to adjust their positions and trade freely. After trading of the Event Contract has closed, CDNA will determine the Expiration Value and whether the Payment Criteria encompasses the Expiration Value (i.e., whether the market outcome is achieved or not). The market is then settled by CDNA, and either the long position holders or the short position holders are paid the Settlement Value.