Notice2023-19592

Joint Industry Plan; Notice of Filing and Immediate Effectiveness of Amendment to the Options Order Protection and Locked/Crossed Market Plan To Add MEMX, LLC, as a Participant

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Published
September 12, 2023

Issuing agencies

Securities and Exchange Commission

Full Text

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<title>Federal Register, Volume 88 Issue 175 (Tuesday, September 12, 2023)</title>
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[Federal Register Volume 88, Number 175 (Tuesday, September 12, 2023)]
[Notices]
[Pages 62610-62612]
From the Federal Register Online via the Government Publishing Office [<a href="http://www.gpo.gov">www.gpo.gov</a>]
[FR Doc No: 2023-19592]


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SECURITIES AND EXCHANGE COMMISSION

[Release No. 34-98303; File No. 4-546]


Joint Industry Plan; Notice of Filing and Immediate Effectiveness 
of Amendment to the Options Order Protection and Locked/Crossed Market 
Plan To Add MEMX, LLC, as a Participant

September 6, 2023.
    Pursuant to Section 11A(a)(3) of the Securities Exchange Act of 
1934

[[Page 62611]]

(``Act'') \1\ and Rule 608 thereunder,\2\ notice is hereby given that 
on August 29, 2023, MEMX, LLC (``MEMX'' or ``Exchange'') filed with the 
Securities and Exchange Commission (``Commission'') an amendment to the 
Options Order Protection and Locked/Crossed Market Plan (``Plan'').\3\ 
The amendment adds MEMX as a Participant \4\ to the Plan. The 
Commission is publishing this notice to solicit comments on the 
amendment from interested persons.
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    \1\ 15 U.S.C. 78k-1(a)(3).
    \2\ 17 CFR 242.608.
    \3\ On July 30, 2009, the Commission approved the Plan, which 
was proposed by Chicago Board Options Exchange, Incorporated 
(``CBOE''), International Securities Exchange, LLC (``ISE''), The 
NASDAQ Stock Market LLC (``Nasdaq''), NASDAQ OMX BX, Inc. (``BX''), 
NASDAQ OMX PHLX, Inc. (``Phlx''), NYSE Amex, LLC (``NYSE Amex''), 
and NYSE Arca, Inc. (``NYSE Arca''). See Securities Exchange Act 
Release No. 60405 (July 30, 2009), 74 FR 39362 (August 6, 2009). See 
also Securities Exchange Act Release No. 61546 (February 19, 2010), 
75 FR 8762 (February 25, 2010) (adding BATS Exchange, Inc. 
(``BATS'') as a Participant); 63119 (October 15, 2010), 75 FR 65536 
(October 25, 2010) (adding C2 Options Exchange, Incorporated 
(``C2'') as a Participant); 66969 (May 12, 2015), 77 FR 29396 (May 
17, 2012) (adding BOX Options Exchange LLC (``BOX Options'') as a 
Participant); 70763 (October 28, 2013), 78 FR 65740 (November 1, 
2013) (adding Topaz Exchange, LLC (``Topaz'') as a Participant); 
70762 (October 28, 2013), 78 FR 65733 (November 1, 2013) (adding 
MIAX International Securities Exchange, LLC (``MIAX'') as a 
Participant); 76823 (January 5, 2016), 81 FR 1260 (January 11, 2016) 
(adding EDGX Exchange, Inc. (``EDGX'') as a Participant); 77324 
(March 8, 2016), 81 FR 13425 (March 14, 2016) (adding ISE MERCURY, 
LLC (``ISE Mercury'') as a Participant); 79896 (January 30, 2017), 
82 FR 9264 (February 3, 2017)(adding MIAX Pearl ``Pearl'') as a 
Participant); 85229 (March 1, 2019), 84 FR 8347 (March 7, 2019) 
(adding MIAX Emerald, LLC (``Emerald'') as a Participant).
    \4\ The term ``Participant'' is defined as an Eligible Exchange 
whose participation in the Plan has become effective pursuant to 
Section 3(c) of the Plan.
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I. Description and Purpose of the Amendment

    The Plan requires the options exchanges to establish a framework 
for providing order protection and addressing locked and crossed 
markets in eligible options classes. The amendment to the Plan adds 
MEMX as a Participant. The other Plan Participants are BATS, BOX, BX, 
C2, CBOE, EDGX, Emerald, ISE, ISE Gemini, ISE Mercury, MIAX, Nasdaq, 
Pearl, Phlx, NYSE MKT, and NYSE Arca. MEMX has submitted an executed 
copy of the Plan to the Commission in accordance with the procedures 
set forth in the Plan regarding new Participants. Section 3(c) of the 
Plan provides for the entry of new Participants to the Plan. 
Specifically, Section 3(c) of the Plan provides that an Eligible 
Exchange \5\ may become a Participant in the Plan by: (i) executing a 
copy of the Plan, as then in effect; (ii) providing each current 
Participant with a copy of such executed Plan; and (iii) effecting an 
amendment to the Plan, as specified in Section 4(b) of the Plan.\6\
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    \5\ Section 2(6) of the Plan defines an ``Eligible Exchange'' as 
a national securities exchange registered with the Commission 
pursuant to Section 6(a) of the Act, 15 U.S.C. 78f(a), that: (a) is 
a ``Participant Exchange'' in the Options Clearing Corporation 
(``OCC'') (as defined in OCC By-laws, Section VII); (b) is a party 
to the Options Price Reporting Authority (``OPRA'') Plan (as defined 
in the OPRA Plan, Section 1); and (c) if the national securities 
exchange chooses not to become part to this Plan, is a participant 
in another plan approved by the Commission providing for comparable 
Trade-Through and Locked and Crossed Market protection. MEMX has 
represented that it has met the requirements for being considered an 
Eligible Exchange. See letter from Anders Franzon, General Counsel, 
MEMX, to Vanessa Countryman, Secretary, Commission, dated August 29, 
2023.
    \6\ MEMX has represented that it has executed a copy of the 
current Plan, amended to include MEMX as a Participant and has sent 
each current Participant a copy of the executed Plan. See letter 
from Anders Franzon, General Counsel, MEMX, to Vanessa Countryman, 
Secretary, Commission, dated August 29, 2023.
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    Section 4(b) of the Plan sets forth the process by which an 
Eligible Exchange may effect an amendment to the Plan. Specifically, an 
Eligible Exchange must: (a) execute a copy of the Plan with the only 
change being the addition of the new Participant's name in Section 3(a) 
of the Plan; and (b) submit the executed Plan to the Commission. The 
Plan then provides that such an amendment will be effective when the 
amendment is approved by the Commission or otherwise becomes effective 
pursuant to Section 11A of the Act and Rule 608 thereunder.

II. Effectiveness of the Proposed Linkage Plan Amendment

    The foregoing Plan amendment has become effective pursuant to Rule 
608(b)(3)(iii) \7\ because it has been designated as involving solely 
technical or ministerial matters. At any time within sixty days of the 
filing of this amendment, the Commission may summarily abrogate the 
amendment and require that it be refiled pursuant to paragraph (a)(1) 
of Rule 608,\8\ if it appears to the Commission that such action is 
necessary or appropriate in the public interest, for the protection of 
investors, or the maintenance of fair and orderly markets, to remove 
impediments to, and perfect the mechanisms of, a national market system 
or otherwise in furtherance of the purposes of the Act.
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    \7\ 17 CFR 242.608(b)(3)(iii).
    \8\ 17 CFR 242.608(a)(1).
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III. Solicitation of Comments

    Interested persons are invited to submit written data, views and 
arguments concerning the foregoing, including whether the amendment is 
consistent with the Act and the rules thereunder. Comments may be 
submitted by any of the following methods:

Electronic Comments

    <bullet> Use the Commission's internet comment form (<a href="https://www.sec.gov/rules/sro.shtml">https://www.sec.gov/rules/sro.shtml</a>); or
    <bullet> Send an email to <a href="/cdn-cgi/l/email-protection#0270776e672f616d6f6f676c7671427167612c656d74"><span class="__cf_email__" data-cfemail="156760797038767a7878707b6166556670763b727a63">[email&#160;protected]</span></a>. Please include 
file number 4-546 on the subject line.

Paper Comments

    <bullet> Send paper comments in triplicate to Secretary, Securities 
and Exchange Commission, 100 F Street NE, Washington, DC 20549-1090.

All submissions should refer to file number 4-546. This file number 
should be included on the subject line if email is used. To help the 
Commission process and review your comments more efficiently, please 
use only one method. The Commission will post all comments on the 
Commission's internet website (<a href="https://www.sec.gov/rules/sro.shtml">https://www.sec.gov/rules/sro.shtml</a>). 
Copies of the submission, all subsequent amendments, all written 
statements with respect to the proposed rule change that are filed with 
the Commission, and all written communications relating to the proposed 
rule change between the Commission and any person, other than those 
that may be withheld from the public in accordance with the provisions 
of 5 U.S.C. 552, will be available for website viewing and printing in 
the Commission's Public Reference Room, 100 F Street NE, Washington, DC 
20549, on official business days between the hours of 10 a.m. and 3 
p.m. Copies of the filing also will be available for inspection and 
copying at the principal office of the Exchange. Do not include 
personal identifiable information in submissions; you should submit 
only information that you wish to make available publicly. We may 
redact in part or withhold entirely from publication submitted material 
that is obscene or subject to copyright protection. All submissions 
should refer to file number 4-546 and should be submitted on or before 
October 3, 2023.


[[Page 62612]]


    For the Commission, by the Division of Trading and Markets, 
pursuant to delegated authority.\9\
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    \9\ 17 CFR 200.30-3(a)(85).
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Sherry R. Haywood,
Assistant Secretary.
[FR Doc. 2023-19592 Filed 9-11-23; 8:45 am]
BILLING CODE 8011-01-P


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Indexed from Federal Register on September 12, 2023.

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