Notice2025-18367

Self-Regulatory Organizations; Cboe Exchange, Inc.; Notice of Filing and Immediate Effectiveness of a Proposed Rule Change To Remove Fees Related to the Cboe Legacy Silexx Platform and To Remove a Previous Waiver for FLEX and Cboe Silexx FIX Connections, as Well as Remove a Previous Waiver for Market Data Fees Incurred by New Users of the Cboe Legacy Silexx Platform During the Migration to the New Cboe Silexx Platform

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Published
September 23, 2025

Issuing agencies

Securities and Exchange Commission

Full Text

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<title>Federal Register, Volume 90 Issue 182 (Tuesday, September 23, 2025)</title>
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[Federal Register Volume 90, Number 182 (Tuesday, September 23, 2025)]
[Notices]
[Pages 45835-45837]
From the Federal Register Online via the Government Publishing Office [<a href="http://www.gpo.gov">www.gpo.gov</a>]
[FR Doc No: 2025-18367]


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SECURITIES AND EXCHANGE COMMISSION

[Release No. 34-104004; File No. SR-CBOE-2025-066]


Self-Regulatory Organizations; Cboe Exchange, Inc.; Notice of 
Filing and Immediate Effectiveness of a Proposed Rule Change To Remove 
Fees Related to the Cboe Legacy Silexx Platform and To Remove a 
Previous Waiver for FLEX and Cboe Silexx FIX Connections, as Well as 
Remove a Previous Waiver for Market Data Fees Incurred by New Users of 
the Cboe Legacy Silexx Platform During the Migration to the New Cboe 
Silexx Platform

September 18, 2025.
    Pursuant to Section 19(b)(1) of the Securities Exchange Act of 1934 
(the ``Act''),\1\ and Rule 19b-4 thereunder,\2\ notice is hereby given 
that on September 10, 2025, Cboe Exchange, Inc. (the ``Exchange'' or 
``Cboe Options'') filed with the Securities and Exchange Commission 
(the ``Commission'') the proposed rule change as described in Items I, 
II, and III below, which Items have been prepared by the Exchange. The 
Commission is publishing this notice to solicit comments on the 
proposed rule change from interested persons.
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    \1\ 15 U.S.C. 78s(b)(1).
    \2\ 17 CFR 240.19b-4.
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I. Self-Regulatory Organization's Statement of the Terms of Substance 
of the Proposed Rule Change

    Cboe Exchange, Inc. (the ``Exchange'' or ``Cboe Options'') proposes 
to remove fees related to the Cboe Legacy Silexx platform and to remove 
a previous waiver for FLEX and Cboe Silexx FIX Connections, as well as 
remove a previous waiver for market data fees incurred by new users of 
the Cboe Legacy Silexx platform during the migration to the new Cboe 
Silexx platform. The text of the proposed rule change is provided in 
Exhibit 5.
    The text of the proposed rule change is also available on the 
Commission's website (<a href="https://www.sec.gov/rules/sro.shtml">https://www.sec.gov/rules/sro.shtml</a>), the 
Exchange's website (<a href="https://www.cboe.com/us/options/regulation/rule_filings/bzx/">https://www.cboe.com/us/options/regulation/rule_filings/bzx/</a>), and at the principal office of the Exchange.

II. Self-Regulatory Organization's Statement of the Purpose of, and 
Statutory Basis for, the Proposed Rule Change

    In its filing with the Commission, the Exchange included statements 
concerning the purpose of and basis for

[[Page 45836]]

the proposed rule change and discussed any comments it received on the 
proposed rule change. The text of these statements may be examined at 
the places specified in Item IV below. The Exchange has prepared 
summaries, set forth in sections A, B, and C below, of the most 
significant aspects of such statements.

A. Self-Regulatory Organization's Statement of the Purpose of, and 
Statutory Basis for, the Proposed Rule Change

1. Purpose
    The Exchange proposes to remove fees related to the Cboe Legacy 
Silexx platform from its Fees Schedule and to remove a previous waiver 
for FLEX and Cboe Silexx FIX Connections, as well as remove a previous 
waiver for market data fees incurred by new users of the Cboe Legacy 
Silexx platform during the migration to the new Cboe Silexx 
platform.\3\
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    \3\ The Exchange initially submitted the proposed rule change on 
September 2, 2025 (SR-Cboe-2025-064). On September 10, 2024, the 
Exchange withdrew that filing and submitted this filing.
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    By way of background, the Exchange offers several versions of its 
Silexx platform. Originally, the Exchange offered the following 
versions of the Silexx platform: Basic, Pro, Pro Plus Risk and Buy-Side 
Manager (``Legacy Platforms''). The Legacy Platforms are designed so 
that a User may enter orders into the platform to send to the executing 
broker, including Trading Permit Holders (``TPHs''), of its choice with 
connectivity to the platform. The executing broker can then send orders 
to Cboe Options (if the broker-dealer is a TPH) or other U.S. exchanges 
(and trading centers) in accordance with the User's instructions. Users 
cannot directly route orders through any of the Legacy Platforms to an 
exchange or trading center nor is the platform integrated into or 
directly connected to Cboe Option's System. In 2019, the Exchange made 
available a new version of the Silexx platform, Silexx FLEX, which 
supports the trading of FLEX Options and allows authorized Users with 
direct access to the Exchange to establish connectivity and submit 
orders directly to the Exchange.\4\ In 2020, the Exchange made an 
additional version of the Silexx platform available, Cboe Silexx, which 
supports the trading of non-FLEX Options and allows authorized Users 
with direct access to the Exchange to establish connectivity and submit 
orders directly to the Exchange.\5\ Cboe Silexx is essentially the same 
platform as Silexx FLEX, with the same applicable functionality, except 
that it additionally supports non-FLEX trading. As noted in previous 
filings, the Exchange has been in the process of transitioning the 
Legacy Platforms to the current version of Cboe Silexx and Silexx 
FLEX.\6\
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    \4\ See Securities Exchange Act Release No. 87028 (September 19, 
2019) 84 FR 50529 (September 25, 2019) (SR-CBOE-2019-061). Only 
Users authorized for direct access and who are approved to trade 
FLEX Options may trade FLEX Options via Cboe Silexx. Only authorized 
Users and associated persons of Users may establish connectivity to 
and directly access the Exchange, pursuant to Rule 5.5 and the 
Exchange's technical specifications.
    \5\ See Securities Exchange Act Release No. 88741 (April 24, 
2020) 85 FR 24045 (April 30, 2020) (SR-CBOE-2020-040). Only 
authorized Users and associated persons of Users may establish 
connectivity to and directly access the Exchange, pursuant to Rule 
5.5 and the Exchange's technical specifications.
    \6\ See e.g., Securities Exchange Release No. 103532 (July 23, 
2025) 90 FR 35564 (July 28, 2025) (SR-CBOE-2025-049).
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    As of end of day August 29, 2025, the Exchange has completed its 
migration of users from the Legacy Platforms, and going forward the 
Exchange will no longer offer access to the Legacy Platforms. 
Accordingly, the Exchange now proposes to remove the fees associated 
with the Legacy Platforms from its Fees Schedule \7\ and to remove a 
previous waiver for FLEX and Cboe Silexx FIX Connections, as well as 
remove a previous waiver for market data fees incurred by new users of 
the Cboe Legacy Silexx platform during the migration to the new Cboe 
Silexx platform.
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    \7\ Of which, the Exchange also proposes to remove the language 
referencing the migration period from the Legacy Platforms to Cboe 
Silexx or FLEX.
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2. Statutory Basis
    The Exchange believes the proposed rule change is consistent with 
the Securities Exchange Act of 1934 (the ``Act'') and the rules and 
regulations thereunder applicable to the Exchange and, in particular, 
the requirements of Section 6(b) of the Act.\8\ Specifically, the 
Exchange believes the proposed rule change is consistent with the 
Section 6(b)(5) \9\ requirements that the rules of an exchange be 
designed to prevent fraudulent and manipulative acts and practices, to 
promote just and equitable principles of trade, to foster cooperation 
and coordination with persons engaged in regulating, clearing, 
settling, processing information with respect to, and facilitating 
transactions in securities, to remove impediments to and perfect the 
mechanism of a free and open market and a national market system, and, 
in general, to protect investors and the public interest. Additionally, 
the Exchange believes the proposed rule change is consistent with the 
Section 6(b)(5) \10\ requirement that the rules of an exchange not be 
designed to permit unfair discrimination between customers, issuers, 
brokers, or dealers. Additionally, the Exchange also believes the 
proposed rule change is consistent with Section 6(b)(4) of the Act, 
which requires that Exchange rules provide for the equitable allocation 
of reasonable dues, fees, and other charges among its TPHs and other 
persons using its facilities.
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    \8\ 15 U.S.C. 78f(b).
    \9\ 15 U.S.C. 78f(b)(5).
    \10\ Id.
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    The Exchange notes that use of the Legacy Platforms is 
discretionary and not compulsory, as users can choose to route orders, 
including to Cboe Options, without the use of the platform. Indeed, the 
Legacy Platforms were not an exclusive means of trading; market 
participants may use other products, vendors, front-end builds, etc. 
available in the marketplace. The Exchange continues to make the other 
platforms of Silexx available, such as Cboe Silexx and Silexx FLEX, as 
a convenience to market participants, who will continue to have the 
option to use any order entry and management system available in the 
marketplace to send orders to the Exchange and other exchanges; the 
platform is merely an alternative offered by the Exchange. Because the 
Legacy Platforms are no longer in use, the Exchange believes it is 
reasonable to remove the fees associated with the Legacy Platforms from 
its Fees Schedule \11\ and to remove a previous waiver for FLEX and 
Cboe Silexx FIX Connections, as well as remove a previous waiver for 
market data fees incurred by new users of the Cboe Legacy Silexx 
platform during the migration to the new Cboe Silexx platform.
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    \11\ Of which, the Exchange also proposes to remove the language 
referencing the migration period from the Legacy Platforms to Cboe 
Silexx or FLEX.
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    Additionally, the Exchange believes that the proposed change to 
remove the existing fee waivers for the FIX Connections for Staged 
Orders, Drop Copies and Order Routing Functionality for Cboe Silexx and 
Silexx FLEX is reasonable as this waiver was first introduced as an 
incentive to market participants to start or continue using these new 
Silexx platforms as trading tools on their trading desks.\12\ As the 
Legacy Platforms have now been shut down, the original intent for 
providing this fee waiver is no longer applicable. As such, the 
Exchange proposes to

[[Page 45837]]

remove this fee waiver from its fee schedule.
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    \12\ See Securities Exchange Act Release No. 89285 (July 10, 
2020) 85 FR 43284 (July 16, 2020) (SR-CBOE-2020-062).
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B. Self-Regulatory Organization's Statement on Burden on Competition

    The Exchange does not believe that the proposed rule change will 
impose any burden on competition that is not necessary or appropriate 
in furtherance of the purposes of the Act. The proposed change will not 
impose any burden on intramarket competition that is not necessary or 
appropriate in furtherance of the purposes of the Act because the 
proposed rule change will apply to similarly situated participants 
uniformly, as described in detail above.
    The Exchange does not believe that the proposed rule changes will 
impose any burden on intermarket competition that is not necessary or 
appropriate in furtherance of the purposes of the Act because the 
proposed change applies only to Cboe Options. Additionally, the Legacy 
Platforms were similar to types of products that are widely available 
throughout the industry, including from some exchanges and the current 
version of Cboe Silexx and Silexx FLEX. The proposed rule change is 
intended to remove the Legacy Platforms from the Fee Schedule for 
clarity moving forward, as the Exchange no longer offers these specific 
products and to remove a waiver that was initially implemented to 
encourage participants to use Cboe Silexx and Silexx FLEX (as opposed 
to the Legacy Platforms). The Legacy Platforms were not an exclusive 
means of trading; market participants may use other products, vendors, 
front-end builds, etc. that are available in the marketplace (or the 
current version of Cboe Silexx and Silexx FLEX). Market participants 
may simply use those products instead, including for routing orders to 
the Exchange (indirectly or directly if they are authorized Users).

C. Self-Regulatory Organization's Statement on Comments on the Proposed 
Rule Change Received From Members, Participants, or Others

    The Exchange neither solicited nor received comments on the 
proposed rule change.

III. Date of Effectiveness of the Proposed Rule Change and Timing for 
Commission Action

    The foregoing rule change has become effective pursuant to Section 
19(b)(3)(A) of the Act \13\ and paragraph (f) of Rule 19b-4 \14\ 
thereunder. At any time within 60 days of the filing of the proposed 
rule change, the Commission summarily may temporarily suspend such rule 
change if it appears to the Commission that such action is necessary or 
appropriate in the public interest, for the protection of investors, or 
otherwise in furtherance of the purposes of the Act. If the Commission 
takes such action, the Commission will institute proceedings to 
determine whether the proposed rule change should be approved or 
disapproved.
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    \13\ 15 U.S.C. 78s(b)(3)(A).
    \14\ 17 CFR 240.19b-4(f).
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IV. Solicitation of Comments

    Interested persons are invited to submit written data, views and 
arguments concerning the foregoing, including whether the proposed rule 
change is consistent with the Act. 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#681a1d040d450b0705050d061c1b281b0d0b460f071e"><span class="__cf_email__" data-cfemail="b4c6c1d8d199d7dbd9d9d1dac0c7f4c7d1d79ad3dbc2">[email&#160;protected]</span></a>. Please include 
file number SR-CBOE-2025-066 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 SR-CBOE-2025-066. 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 filing 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 SR-CBOE-2025-066 and 
should be submitted on or before October 14, 2025.

    For the Commission, by the Division of Trading and Markets, 
pursuant to delegated authority.\15\
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    \15\ 17 CFR 200.30-3(a)(12).
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Sherry R. Haywood,
Assistant Secretary.
[FR Doc. 2025-18367 Filed 9-22-25; 8:45 am]
BILLING CODE 8011-01-P


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