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GM

If you convert it to a level 1 chronicle, you change the GP gained to 500 and you do not gain access to any of the boons until you hit level 3, at which point you treat it as normal. This chronicle can be applied to a new character or to an existing level 1 character.
If you do not convert it to a level 1 chronicle, you take the chronicle sheet as is, but hold off on gaining the XP until you hit level 3. This chronicle can be applied to a new character, or to an existing character that has not yet hit level 3.
If you are applying the chronicle to an existing character or a planned character I can go ahead and report it as their faction.