International flanker Dan Lydiate has become the first player to join Wales captain Sam Warburton on a national dual contract between the Welsh Rugby Union and the regions.
He is returning to Wales after being released from his contract by Racing Métro 92 and will play for the Ospreys.
Lydiate will start training with the region this week and will be available for selection after the weekend.
Under the terms of the rugby services agreement, players returning to Wales are expected to return to their regions of origin, but Lydiate has chosen to join the Ospreys principally for family reasons and has personally discussed the move with his former Dragons employers.
Lydiate headed the list of 12 players who have been offered national dual contracts and more signings are due to take place from that list shortly as negotiations advance.
The list was drawn up by the Wales head coach Warren Gatland who has liaised closely with the regions regarding all the players he wants to secure on NDC's.
The recently signed rugby services agreement is the first contract between the WRU and the regions which contains a commitment to the radical new contracts.
Players holding the new contracts will be managed regarding their playing commitments and welfare each season.
Under the terms of the RSA £8.7m a year is allocated from the WRU for the regions to spend on Welsh-qualified players with £2m of that investment for NDC's which is topped up to £3.3m with a commitment of £1.3m from the regions.
Lydiate said: "I am delighted to have secured a national dual contract and I am looking forward to doing my best for the Ospreys while I aim to win selection for Wales.
"Having a national dual contract gives me the certainty I need for my future and I will now be able to concentrate one hundred percent on my rugby.
"I enjoyed my time with Racing Métro, but this is the right move for me as I want to achieve my full potential as a player based here in Wales."
"This is an important step forward for Welsh rugby and will reap rewards in playing standards over the long term" - Warren Gatland
Wales head coach Warren Gatland commented on Lyiate's new deal by saying: "This is an important step forward for Welsh rugby and will reap rewards in playing standards over the long term.
"Any player on a national dual contract will remain in Wales with a region where their development and welfare can be monitored by me and my national squad coaches and conditioners.
"I want to personally thank the staff from each of the four regions for their help in getting the national dual contracts up and running.
"We can now focus on ensuring all our best young players realise the best way for them to realise their talent in full is to stay in Wales under the new structure we have created."
Twenty-six-year-old Lydiate has been capped 41 times by Wales and featured in all three Tests for the British and Irish Lions in the victorious 2013 tour of Australia.
He made his RBS Six Nations debut in 2011, helped Wales to a Grand Slam in 2012 and also won the player of the tournament title that year.