Notice2025-23686

Agency Information Collection Activities; Proposed Collection; Comment Request; Extension: Rule 302

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Published
December 23, 2025

Issuing agencies

Securities and Exchange Commission

Full Text

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<title>Federal Register, Volume 90 Issue 244 (Tuesday, December 23, 2025)</title>
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[Federal Register Volume 90, Number 244 (Tuesday, December 23, 2025)]
[Notices]
[Pages 60147-60148]
From the Federal Register Online via the Government Publishing Office [<a href="http://www.gpo.gov">www.gpo.gov</a>]
[FR Doc No: 2025-23686]


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SECURITIES AND EXCHANGE COMMISSION

[OMB Control No. 3235-0510]


Agency Information Collection Activities; Proposed Collection; 
Comment Request; Extension: Rule 302

Upon Written Request, Copies Available From: Securities and Exchange 
Commission, Office of FOIA Services, 100 F Street NE, Washington, DC 
20549-2736

    Notice is hereby given that, pursuant to the Paperwork Reduction 
Act of 1995 (44 U.S.C. 3501 et seq.), the Securities and Exchange 
Commission (``SEC'' or ``Commission'') is soliciting comments on the 
proposed collection of information provided for in Rule 302 (17 CFR 
242.302) of Regulation ATS (17 CFR 242.302 et seq.) under the 
Securities and Exchange Act of 1934 (``Exchange Act'') (15 U.S.C. 78a 
et seq.). The Commission plans to submit this existing collection of 
information to the Office of Management and Budget (``OMB'') for 
extension and approval.
    Regulation ATS sets forth a regulatory regime for ``alternative 
trading systems'' (``ATSs'').\1\ An entity that meets the definition of 
an exchange must register, pursuant to section 5 of the Exchange Act, 
as a national securities exchange under section 6 of the Exchange Act 
\2\ or operate pursuant to an appropriate exemption.\3\ One of the 
available

[[Page 60148]]

exemptions is for ATSs.\4\ Exchange Act Rule 3a1-1(a)(2) exempts from 
the definition of ``exchange'' under section 3(a)(1) an organization, 
association, or group of persons that complies with Regulation ATS.\5\ 
Regulation ATS requires an ATS to, among other things, register as a 
broker-dealer with the Commission, file a Form ATS or Form ATS-N with 
the Commission to notice its operations, and establish written 
safeguards and procedures to protect subscribers' confidential trading 
information. An ATS that complies with Regulation ATS and operates 
pursuant to the Rule 3a1-1(a)(2) exemption would not be required by 
section 5 to register as a national securities exchange.
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    \1\ Regulation ATS consists of 17 CFR 242.300 through 242.304 
(Rules 300 through 304 under the Exchange Act).
    \2\ See 15 U.S.C. 78e and 78f. A ``national securities 
exchange'' is an exchange registered as such under section 6 of the 
Exchange Act.
    \3\ 15 U.S.C. 78a et seq.
    \4\ Rule 300(a) of Regulation ATS provides that an ATS is ``any 
organization, association, person, group of persons, or system: (1) 
[t]hat constitutes, maintains, or provides a market place or 
facilities for bringing together purchasers and sellers of 
securities or for otherwise performing with respect to securities 
the functions commonly performed by a stock exchange within the 
meaning of [Exchange Act Rule 3b-16]; and (2) [t]hat does not: (i) 
[s]et rules governing the conduct of subscribers other than the 
conduct of subscribers' trading on such [ATS]; or (ii) [d]iscipline 
subscribers other than by exclusion from trading.''
    \5\ See 17 CFR 240.3a1-1(a)(2).
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    To comply with the condition set forth in Rule 301(b)(8) of 
Regulation ATS (17 CFR 242.301(b)(8)), an ATS must make and keep 
current certain records relating to trading activity set forth in Rule 
302 of Regulation ATS (17 CFR 242.302).\6\ Under Rule 302, ATSs are 
required to, among other things, make a record of subscribers to the 
ATS, daily summaries of trading in the ATS, and time-sequenced records 
of order information in the ATS.
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    \6\ Rule 301(b)(8)(i) of Regulation ATS provides that an ATS 
shall ``make and keep current the records'' specified in Rule 302 of 
Regulation ATS. Further, Rule 301(b)(8)(ii) provides that an ATS 
shall preserve the records specified in Rule 303 of Regulation ATS. 
Rule 303 requires an ATS to preserve, among other things, all 
records required to be made pursuant to Rule 302 for a period of not 
less than three years, the first two years in an easily accessible 
place. 17 CFR 242.303.
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    The information required to be collected under Rule 302 should 
increase the abilities of the Commission, state securities regulatory 
authorities, and the self-regulatory organizations to ensure that ATSs 
are in compliance with Regulation ATS as well as other applicable rules 
and regulations. If the information is not collected or collected less 
frequently, the regulators would be limited in their ability to comply 
with their statutory obligations, provide for the protection of 
investors, and promote the maintenance of fair and orderly markets.
    Respondents consist of ATSs that choose to operate pursuant to the 
exemption provided by Regulation ATS from registration as national 
securities exchanges. There are currently 111 respondents. These 
respondents will spend a total of approximately 4,773 hours per year 
(111 respondents at 43 burden hours/respondent) to comply with the 
recordkeeping requirements of Rule 302. At an average cost per burden 
hour of $89, the resultant total related total internal cost of 
compliance for these respondents is approximately $424,797 per year 
(4,773 burden hours multiplied by $89/hour).
    An agency may not conduct or sponsor, and a person is not required 
to respond to, a collection of information unless it displays a 
currently valid OMB Control Number.
    Written comments are invited on: (a) whether this proposed 
collection of information is necessary for the proper performance of 
the functions of the SEC, including whether the information will have 
practical utility; (b) the accuracy of the SEC's estimate of the burden 
imposed by the proposed collection of information, including the 
validity of the methodology and the assumptions used; (c) ways to 
enhance the quality, utility, and clarity of the information to be 
collected; and (d) ways to minimize the burden of the collection of 
information on respondents, including through the use of automated, 
electronic collection techniques or other forms of information 
technology.
    Please direct your written comment to Austin Gerig, Director/Chief 
Data Officer, Securities and Exchange Commission, c/o Tanya Ruttenberg, 
100 F Street NE, Washington, DC 20549 and send it by email to 
<a href="/cdn-cgi/l/email-protection#035362736671746c71685166677660776a6c6d426077437066602d646c75"><span class="__cf_email__" data-cfemail="3767564752454058455c6552534254435e58597654437744525419505841">[email&#160;protected]</span></a> within 60 days of publication of this 
notice, by February 23, 2026.

    Dated: December 19, 2025.
Sherry R. Haywood,
Assistant Secretary.
[FR Doc. 2025-23686 Filed 12-22-25; 8:45 am]
BILLING CODE 8011-01-P


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Indexed from Federal Register on December 23, 2025.

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