Notice2026-01629
Self-Regulatory Organizations; The Depository Trust Company; Notice of Filing and Immediate Effectiveness of Proposed Rule Change To Limit Accessibility to DTC's Participant Terminal System
Primary source
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Published
January 28, 2026
Issuing agencies
Securities and Exchange Commission
Full Text
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<title>Federal Register, Volume 91 Issue 18 (Wednesday, January 28, 2026)</title>
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[Federal Register Volume 91, Number 18 (Wednesday, January 28, 2026)]
[Notices]
[Pages 3755-3757]
From the Federal Register Online via the Government Publishing Office [<a href="http://www.gpo.gov">www.gpo.gov</a>]
[FR Doc No: 2026-01629]
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SECURITIES AND EXCHANGE COMMISSION
[Release No. 34-104680; File No. SR-DTC-2026-001]
Self-Regulatory Organizations; The Depository Trust Company;
Notice of Filing and Immediate Effectiveness of Proposed Rule Change To
Limit Accessibility to DTC's Participant Terminal System
January 23, 2026.
Pursuant to Section 19(b)(1) of the Securities Exchange Act of 1934
(``Act'') \1\ and Rule 19b-4 thereunder,\2\ notice is hereby given that
on January 16, 2026, The Depository Trust Company (``DTC'') filed with
the Securities and Exchange Commission (``Commission'') the proposed
rule change as described in Items I, II and III below, which Items have
been prepared by the clearing agency. DTC filed the proposed rule
change pursuant to Section 19(b)(3)(A) of the Act \3\ and Rule 19b-
4(f)(4) thereunder.\4\ 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.
\3\ 15 U.S.C. 78s(b)(3)(A).
\4\ 17 CFR 240.19b-4(f)(4).
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I. Clearing Agency's Statement of the Terms of Substance of the
Proposed Rule Change
The proposed rule change would update seven DTC services guides \5\
and the DTC Operational Arrangements (Necessary for Securities to
Become and Remain Eligible for DTC Services) (collectively, ``DTC
Procedures'') \6\ to (i) limit accessibility to DTC's Participant
Terminal System (``PTS'') to automated non-human personas only, such as
automated bots and robotic process automation (``RPA'') identities, by
adding a footnote at the first reference of PTS in each of the DTC
Procedures stating such and (ii) make related
[[Page 3756]]
conforming, technical, and ministerial changes, as described below.
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\5\ The seven DTC service guides to be updated are the Custody
Service Guide, Deposits Service Guide, Distributions Service Guide,
Redemptions Service Guide, Reorganizations Service Guide, Settlement
Service Guide, and Underwriting Service Guide, available at
<a href="http://www.dtcc.com/legal/rules-and-procedures">www.dtcc.com/legal/rules-and-procedures</a>.
\6\ Terms not defined herein are defined in the DTC Procedures.
DTC Procedures, supra note 5. The DTC Procedures are Procedures of
DTC. Pursuant to the Rules, By-Laws and Organization Certificate of
DTC (``DTC Rules''), the term ``Procedures'' means the procedures,
service guides, and regulations of DTC adopted pursuant to DTC Rule
27, as amended from time to time. DTC Rule 1, Section 1, supra note
5. They are binding on DTC and each Participant in the same manner
that they are bound by the DTC Rules.
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II. Clearing Agency's Statement of the Purpose of, and Statutory Basis
for, the Proposed Rule Change
In its filing with the Commission, the clearing agency included
statements concerning the purpose of and basis for 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 clearing agency has prepared summaries,
set forth in sections A, B, and C below, of the most significant
aspects of such statements.
(A) Clearing Agency's Statement of the Purpose of, and Statutory Basis
for, the Proposed Rule Change
1. Purpose
The proposed rule change would update the DTC Procedures to (i)
limit accessibility to DTC's Participant Terminal System (``PTS'') to
automated non-human personas only, such as automated bots and robotic
process automation (``RPA'') identities, by adding a footnote at the
first reference of PTS in each of the DTC Procedures stating such and
(ii) make related conforming, technical, and ministerial changes, as
described below.
Background
As part of broader modernization efforts, DTC is undertaking a
multi-phase initiative to modernize Participant access to its services,
with a focus on eliminating reliance on legacy infrastructure,
enhancing operational resilience, and improving the client experience.
As part of this effort, DTC is transitioning away from use of PTS, also
referred to as the TN3270 terminal, which has historically supported
both automated and manual user access to DTC services. This transition
supports DTC's longer-term objective to streamline and consolidate
Participant access through standardized platforms.
Proposed Changes
To begin transitioning away from PTS, DTC proposes to add a
footnote at the first reference of PTS in each of the DTC Procedures to
state that the use of PTS would be limited to automated non-human
personas only, such as automated bots and RPA identities. The footnote
would further state that human user access via PTS would no longer be
supported and that Participants must ensure that any access by human
personas is conducted through alternative interfaces, such as the DTCC
Mainframe Portal or MyDTCC.
For the time being, DTC will continue to allow non-human personas
access to PTS to give Participants that rely on automated bots and RPA
identities that ``scrape'' PTS for information more time to transition
such automated features to alternative means of gathering such
information via DTC's other interface options, such as the DTCC
Mainframe Portal and MyDTCC.
DTC also proposes to update later references of PTS in the DTC
Procedures to the abbreviated form ``PTS'' in lieu of the full name, so
that inquiries regarding the meaning of ``PTS'' would bring readers
back to the first reference, which would contain the footnote described
above.
No additional functional or service-related changes are being made
as part of this proposed rule change. All services and functions
available via PTS are also available via another DTC interface, of
which Participants have been made aware.\7\
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\7\ <a href="https://dtcclearning.com/helpfiles/enterprise/ptspbs/Content/Topics/overview/intro.htm">https://dtcclearning.com/helpfiles/enterprise/ptspbs/Content/Topics/overview/intro.htm</a>.
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Implementation Timeframe
The proposed rule change would be implemented by March 31, 2026,
with the specific date being announced by Important Notice no later
than 14 Business Days prior to such date. A legend would be added to
the DTC Procedures stating such, and that once implemented, the legend
would automatically be removed.
Following implementation, DTC will (i) no longer permit any new
human personas to access PTS and (ii) begin transitioning any existing
human personas that remain on PTS off PTS. DTC anticipates that such
transition may take several months.
2. Statutory Basis
Section 17A(b)(3)(F) of the Act requires that the rules of the
clearing agency be designed, inter alia, to promote the prompt and
accurate clearance and settlement of securities transactions.\8\ As
described above, the proposed rule change would (i) add a footnote at
the first reference of PTS, in each of the DTC Procedures, to limit the
accessibility of PTS to automated non-human personas only, and (ii)
make related conforming, technical, and ministerial changes. By
updating the DTC Procedures to state that PTS would only be available
for automated (non-human) access, for the time being, and would no
longer be permitted for human users, DTC is directing Participants to
DTC's more modern interfaces, so DTC can begin unwinding some of its
older, outdated interfaces in favor of its more standardized and
operationally efficient interfaces that can better service
Participants. By better servicing Participants on more modern
interfaces, DTC would be promoting more efficient and effective access
to its clearance and settlement services. Accordingly, DTC believes
that the proposed rule change is consistent with the Section
17A(b)(3)(F) of the Act, as cited above.
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\8\ 15 U.S.C. 78q-1(b)(3)(F).
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Rule 17ad-22(e)(21) \9\ promulgated under the Act requires, inter
alia, that DTC, a covered clearing agency, establish, implement,
maintain and enforce written policies and procedures reasonably
designed to, as applicable, be efficient and effective in meeting the
requirements of its Participants and the markets it serves. As
described above, by updating the DTC Procedures to limit PTS usage and
transition human users to DTC's more modern and operationally efficient
interfaces, such as the DTCC Mainframe Portal or MyDTCC, the proposed
rule change shows that DTC is considering the efficiency and effectives
of its interfaces and working to direct Participants to more modern
options as it unwinds some of its legacy access points. Accordingly,
DTC believes that the proposed rule change would help promote
efficiency and effectiveness in a manner consistent with Rule 17ad-
22(e)(21), as cited above.
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\9\ 17 CFR 240.17ad-22(e)(21).
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(B) Clearing Agency's Statement on Burden on Competition
DTC does not believe that the proposed rule change would have any
impact or impose any burden on competition \10\ because, as described
above, the proposed rule change would simply direct Participants' human
users away from PTS and to more modern access interfaces for DTC's
services, while still temporarily allowing automated access to PTS
given the greater challenge in transitioning such automated features.
Moreover, the proposed rule change does not modify the availability of
services or introduce differential treatment among Participants.
Therefore, DTC believes that the proposed rule change would not favor
or disadvantage any Participant.
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\10\ 15 U.S.C. 78q-1(b)(3)(I).
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(C) Clearing Agency's Statement on Comments on the Proposed Rule Change
Received From Members, Participants, or Others
DTC has not received or solicited any written comments relating to
this proposal. If any written comments are
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received, they will be publicly filed as an Exhibit 2 to this filing,
as required by Form 19b-4 and the General Instructions thereto.
Persons submitting written comments are cautioned that, according
to Section IV (Solicitation of Comments) of the Exhibit 1A in the
General Instructions to Form 19b-4, the Commission does not edit
personal identifying information from comment submissions. Commenters
should submit only information that they wish to make available
publicly, including their name, email address, and any other
identifying information.
All prospective commenters should follow the Commission's
instructions on how to submit comments, available at <a href="http://www.sec.gov/rules-regulations/how-submit-comment">www.sec.gov/rules-regulations/how-submit-comment</a>. General questions regarding the rule
filing process or logistical questions regarding this filing should be
directed to the Main Office of the Commission's Division of Trading and
Markets at <a href="/cdn-cgi/l/email-protection#ccb8beada8a5a2abada2a8a1adbea7a9b8bf8cbfa9afe2aba3ba"><span class="__cf_email__" data-cfemail="7b0f091a1f12151c1a151f161a09101e0f083b081e18551c140d">[email protected]</span></a> or 202-551-5777.
DTC reserves the right to not respond to any comments received.
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) \11\ of the Act and paragraph (f) of Rule 19b-4
thereunder.\12\ 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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\11\ 15 U.S.C. 78s(b)(3)(A).
\12\ 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#addfd8c1c880cec2c0c0c8c3d9deeddec8ce83cac2db"><span class="__cf_email__" data-cfemail="d5a7a0b9b0f8b6bab8b8b0bba1a695a6b0b6fbb2baa3">[email protected]</span></a>. Please include
file number SR-DTC-2026-001 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-DTC-2026-001. 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-regulations/self-regulatory-organization-rulemaking">https://www.sec.gov/rules-regulations/self-regulatory-organization-rulemaking</a>). Copies of the
filing will be available for inspection and copying at the principal
office of DTC and on DTCC's website (<a href="http://www.dtcc.com/legal/sec-rule-filings">www.dtcc.com/legal/sec-rule-filings</a>). 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-DTC-2026-001 and should
be submitted on or before February 18, 2026.
For the Commission, by the Division of Trading and Markets,
pursuant to delegated authority.\13\
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\13\ 17 CFR 200.30-3(a)(12).
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Vanessa A. Countryman,
Secretary.
[FR Doc. 2026-01629 Filed 1-27-26; 8:45 am]
BILLING CODE 8011-01-P
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