TREXILON TECHNOLOGIES S.A. DE C.V. CODE OF ETHICS

1. PURPOSE AND SCOPE

This Code of Ethics (the "Code") establishes the standards of professional conduct and ethical behavior expected of all personnel associated with Trexilon Technologies S.A. de C.V. ("Trexilon" or the "Company"). It applies to all directors, officers, employees, contractors, and any person acting on behalf of the Company, without exception.

The Code is designed to promote a culture of integrity, regulatory compliance, and accountability in all aspects of the Company's operations, with particular emphasis on the prevention of money laundering, terrorist financing, and proliferation financing.

All personnel must read, understand, and acknowledge this Code upon joining the Company and annually thereafter. A signed acknowledgment will be retained in each individual's personnel file.

2. CORE PRINCIPLES

The following principles govern the conduct of all Personnel in every aspect of the Company's operations.

2.1 Integrity and Honesty.

All Personnel must conduct themselves with honesty, transparency, and good faith. No person may engage in, facilitate, or condone any fraudulent, deceptive, or misleading activity. All business records must accurately reflect the true nature of transactions.

2.2 Compliance with Law.

Personnel must comply with all applicable laws and regulations of El Salvador, including the Digital Assets Issuance Law (LEAD), AML/CFT regulations, and all directives issued by the CNAD, SSF, and UIF. No person may execute instructions or carry out activities that contravene applicable law or Company policy, regardless of who issues the instruction.

2.3 Professionalism.

Personnel are expected to maintain the highest standards of professional competence. The Company will provide periodic training on regulatory requirements, AML/CFT procedures, and ethical conduct. Participation in all such training is mandatory.

2.4 Loyalty and Good Faith.

Personnel owe a duty of loyalty to the Company. They must act in the Company's best interest, prioritizing client welfare and regulatory compliance over personal gain.

3. PREVENTION OF MONEY LAUNDERING AND TERRORIST FINANCING

All personnel share responsibility for preventing the Company's services from being used for money laundering, terrorist financing, proliferation financing, or any other illicit activity.

Personnel must:

  • (a) Familiarize themselves with and comply with the Company's AML/CFT policies and procedures at all times.
  • (b) Verify the identity and legitimacy of clients and counterparties in accordance with KYB and CDD procedures.
  • (c) Report any suspicious activity, unusual transactions, or potential regulatory violations immediately to the Compliance Officer.
  • (d) Cooperate fully with internal and external auditors, regulators, and law enforcement authorities when requested.

4. CONFIDENTIALITY AND INFORMATION SECURITY

All personnel must treat client data, proprietary business information, and internal operational details as strictly confidential. Confidential information may only be disclosed where required by applicable law, regulatory directive, or with the express written authorization of a Director.

Personnel must not use confidential or privileged information for personal benefit or to benefit any third party. This prohibition covers, without limitation, information regarding client identities, transaction details, compliance investigations, and internal pricing or commercial strategies.

All personnel must comply with the Company's information security policies at all times. Any actual or suspected security breach must be reported immediately to the relevant person. Failure to report a known or suspected breach constitutes a violation of this Code and may result in disciplinary action as set forth in Section 9.

Obligations of confidentiality survive the termination of any employment or contractual relationship with the Company.

5. CONFLICTS OF INTEREST

All personnel must avoid situations where their personal interests, financial interests, or outside activities conflict, or could reasonably appear to conflict, with the interests of the Company or its clients.

Any actual or potential conflict of interest must be disclosed promptly to the Compliance Officer in writing. Illustrative examples include, but are not limited to:

  • (e) Financial interests in a client, counterparty, or competitor of the Company.
  • (f) Personal relationships with clients or counterparties that could influence business decisions.
  • (g) Outside employment or consulting arrangements related to digital asset services.
  • (h) Personal digital asset trading that could conflict with client interests.

The Company will evaluate each disclosed conflict and determine appropriate measures, which may include recusal from relevant decision-making, enhanced supervision, or prohibition of the conflicting activity. Failure to disclose a conflict of interest constitutes a violation of this Code and may result in disciplinary action as set forth in Section 9.

6. GIFTS, HOSPITALITY, AND PROHIBITED PAYMENTS

Personnel must not offer, solicit, or accept gifts, hospitality, or any form of benefit that could influence, or reasonably appear to influence, business decisions or create an obligation to any party.

Modest, customary business courtesies (such as occasional meals or inexpensive promotional items) may be accepted provided they do not exceed USD 100 in value per instance and are not offered with the expectation of reciprocal benefit.

Bribes, kickbacks, or improper payments of any kind are strictly prohibited, whether offered to or received from clients, counterparties, government officials, or any other person. This prohibition applies regardless of the amount, form, or intermediary involved.

Any offer, solicitation, or receipt of a prohibited payment or benefit must be reported immediately. Failure to report constitutes a separate violation of this Code and may result in disciplinary action as described in Section 9.

7. CONDUCT IN DIGITAL ASSET MARKETS

As a licensed digital asset service provider and bitcoin service provider under the LEAD, Trexilon and all its Personnel are bound by strict obligations of fair dealing and market integrity.

Personnel must:

  • (i) Not engage in, facilitate, or knowingly support any activity intended to artificially influence the price, volume, or market conditions of any digital asset.
  • (j) Not conduct transactions for the sole purpose of generating fees or commissions without corresponding benefit to the client (fee-churning).
  • (k) Prioritize client interests over the Company's commercial interests at all times.
  • (l) Support transparency in pricing and ensure all fees, spreads, and charges are disclosed to clients in accordance with the Company's Terms and Conditions.
  • (m) Refrain from using proprietary information or client order flow to trade for personal advantage or to benefit the Company at a client's expense.
  • (n) Cooperate fully with the CNAD, the SSF, and any other competent authority in connection with supervisory, investigative, or enforcement inquiries.

8. REPORTING OBLIGATIONS AND WHISTLEBLOWING

All personnel who become aware of any violation or suspected violation of this Code, applicable law, or Company policy must report it promptly.

Reports may be submitted in writing or verbally and will be treated as confidential to the fullest extent permitted by law. The identity of the reporting person will not be disclosed without that person's consent, except where disclosure is required by law or regulatory authority.

The Company strictly prohibits retaliation of any kind against any person who makes a good-faith report of a suspected violation. Retaliation includes, but is not limited to, termination, demotion, harassment, or any adverse change in the terms or conditions of employment or engagement.

The Company will investigate all reported concerns in a fair and timely manner. Where a violation is confirmed, the Company will take appropriate corrective action in accordance with Section 9 of this Code and applicable law.

9. DISCIPLINARY MEASURES

Violations of this Code may result in disciplinary action proportionate to the nature and severity of the conduct. The Company reserves the right to impose any of the following measures, individually or in combination:

  • (o) Verbal warning with a documented record retained by the Compliance Officer.
  • (p) Written warning with notation in the personnel file.
  • (q) Suspension without pay for a period determined by the Directors.
  • (r) Termination of employment or contractual relationship, effective immediately where warranted.
  • (s) Referral to competent authorities for civil or criminal proceedings, including but not limited to the CNAD, SSF, UIF, or other authorities of El Salvador.

The imposition of a lesser measure does not preclude the Company from subsequently imposing a more severe measure for the same or related conduct. The Directors, in consultation with the Compliance Officer, retain sole discretion to determine the appropriate disciplinary response in each case.

10. ACKNOWLEDGMENT AND REVIEW

All personnel by performing their function confirm that they have received, read, and understood this Code.

This Code shall be reviewed at least once per calendar year and shall recommend updates as necessary to reflect changes in applicable law, regulatory guidance issued by the CNAD, SSF, or UIF, or the Company's business activities. Material amendments to this Code require prior written approval by the Directors before taking effect.

The Compliance Officer shall maintain a register of all signed acknowledgments and shall report any outstanding or overdue acknowledgments to the Directors on a quarterly basis.