Notice2026-09477
Self-Regulatory Organizations; 24X National Exchange LLC; Notice of Filing and Immediate Effectiveness of Proposed Rule Change To Amend 24X Rules 2.11, 1.5(kk), 11.6(p), and 4.5(qq)
Primary source
Metadata and text below are from the Federal Register, a public-domain U.S. government work. Always verify the official published version before relying on it for any legal matter.
Published
May 13, 2026
Issuing agencies
Securities and Exchange Commission
Full Text
<html>
<head>
<title>Federal Register, Volume 91 Issue 92 (Wednesday, May 13, 2026)</title>
</head>
<body><pre>
[Federal Register Volume 91, Number 92 (Wednesday, May 13, 2026)]
[Notices]
[Pages 27118-27120]
From the Federal Register Online via the Government Publishing Office [<a href="http://www.gpo.gov">www.gpo.gov</a>]
[FR Doc No: 2026-09477]
-----------------------------------------------------------------------
SECURITIES AND EXCHANGE COMMISSION
[Release No. 34-105423; File No. SR-24X-2026-11]
Self-Regulatory Organizations; 24X National Exchange LLC; Notice
of Filing and Immediate Effectiveness of Proposed Rule Change To Amend
24X Rules 2.11, 1.5(kk), 11.6(p), and 4.5(qq)
May 8, 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 April 27, 2026, 24X National Exchange LLC (``24X'' or the
``Exchange'') filed with the Securities and Exchange Commission (the
``Commission'') the proposed rule change as described in Items I and II
below, which Items have been prepared by the self-regulatory
organization. The Commission is publishing this notice to solicit
comments on the proposed rule change from interested persons.
---------------------------------------------------------------------------
\1\ 15 U.S.C. 78s(b)(1).
\2\ 17 CFR 240.19b-4.
---------------------------------------------------------------------------
I. Self-Regulatory Organization's Statement of the Terms of Substance
of the Proposed Rule Change
The Exchange proposes (i) to amend 24X Rule 2.11 to clarify that
the Exchange's routing services are available for the routing of orders
to any Trading Center \3\ and not only to other securities exchanges,
(ii) to amend 24X Rules 1.5(kk) and 11.6(p) to update cross references
to the Act's definition of Trading Center, and (iii) to amend 24X Rule
4.5(qq) to update a cross reference to the Act's definition of NMS
Stocks. The proposed rule change is available on the Exchange's website
at <a href="https://equities.24exchange.com/regulation">https://equities.24exchange.com/regulation</a> and at the principal
office of the Exchange.
---------------------------------------------------------------------------
\3\ See 24X Rule 1.5(kk).
---------------------------------------------------------------------------
[[Page 27119]]
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 self-regulatory organization
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 those 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 parts of such statements.
A. Self-Regulatory Organization's Statement of the Purpose of, and the
Statutory Basis for, the Proposed Rule Change
1. Purpose
The Exchange proposes (i) to amend 24X Rule 2.11 to clarify that
the Exchange's routing services are available for the routing of orders
to any Trading Center \4\ and not only to other securities exchanges,
(ii) to amend 24X Rules 1.5(kk) and 11.6(p) to update cross references
to the Act's definition of Trading Center, and (iii) to amend 24X Rule
4.5(qq) to update a cross reference to the Act's definition of NMS
Stocks.
---------------------------------------------------------------------------
\4\ See 24X Rule 1.5(kk).
---------------------------------------------------------------------------
Currently, all subparts of 24X Rule 2.11 specify that the
Exchange's routing services allow orders to be routed to Trading
Centers except for subparts (f) and (g), and except for the title of
the rule, which all use the term ``exchange'' instead of ``Trading
Center.'' The Exchange believes that this inconsistent terminology
creates the potential for confusion given that the Exchange's routing
services are available for the routing of orders to any Trading Center
and not only to other securities exchanges. To eliminate such potential
confusion, the Exchange proposes to replace the word ``exchange'' with
the term ``Trading Center'' in both subparts (f) and (g) of 24X Rule
2.11 and in the title of the rule.
In addition, 24X Rules 1.5(kk) and 11.6(p) currently define
``Trading Center'' as ``any trading center as defined in Rule
600(b)(95) of the Act,'' and 24X Rule 4.5(qq) references the term ``NMS
Stocks'' ``as defined in SEC Rule 600(b)(47).'' In 2024, the Commission
amended Regulation NMS under the Act to update the rule that requires
disclosures for order executions in national market system (``NMS'')
stocks.\5\ As part of that initiative, the Commission adopted new
definitions in Rule 600(b) of Regulation NMS and renumbered the
remaining definitions, including the definitions of NMS Stocks and
Trading Center,\6\ which means that the above-mentioned cross
references are no longer up to date. The Exchange accordingly proposes
to update the relevant citations to Rule 600(b) in its rules as
follows: (i) the citations to the definition of Trading Center in 24X
Rules 1.5(kk) and 11.6(p) would be changed to ``Rule 600(b)(106) of the
Act''; and (ii) the citation to the definition of NMS Stocks in 24X
Rule 4.5(qq) would be changed to ``Rule 600 of Regulation NMS,''
omitting the reference to the subparagraph for consistency with all
other citations to the definition of NMS Stocks in the Exchange
rules.\7\
---------------------------------------------------------------------------
\5\ See Securities Exchange Act Release No. 99679, 89 FR 26428
(April 15, 2024) (S7-29-22).
\6\ See id. (renumbering the definition of NMS Stocks to Sec.
242.600(b)(65) and the definition of Trading Center to Sec.
242.600(b)(106)).
\7\ See 24X Rules 11.20(d)(2) and 12.6 Interpretations and
Policies .02(a).
---------------------------------------------------------------------------
2. Statutory Basis
The Exchange believes that the proposed rule change is consistent
with the provisions of Section 6 of the Act \8\ in general, and with
Section 6(b)(5) of the Act \9\ in particular, because it is 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 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; and it is not designed to
permit unfair discrimination between customers, issuers, brokers, or
dealers.
---------------------------------------------------------------------------
\8\ 15 U.S.C. 78f.
\9\ 15 U.S.C. 78f(b)(5).
---------------------------------------------------------------------------
Specifically, the Exchange believes that the proposed rule change
furthers the objectives of the Act by clarifying terminology to reflect
the actual operation of the Exchange's routing services and by updating
cross references to the Act that are currently out of date, in both
cases reducing the potential for confusion surrounding such terminology
and references, thereby removing impediments to and perfecting the
mechanism of a free and open market and a national market system.
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 rule change is
not intended to address competitive issues but rather is intended
solely to clarify that the Exchange's routing services are available
for the routing of orders to any Trading Center and not only to other
securities exchanges, and to update cross references to the Act.
C. Self-Regulatory Organization's Statement on Comments on the Proposed
Rule Change Received From Members, Participants, or Others
No written comments were solicited or received with respect to 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)(iii) \10\ of the Act and Rule 19b-4(f)(6) thereunder \11\
in that it effects a change that: (i) does not significantly affect the
protection of investors or the public interest; (ii) does not impose
any significant burden on competition; and (iii) by its terms, does not
become operative for 30 days after the date of the filing, or such
shorter time as the Commission may designate if consistent with the
protection of investors and the public interest.
---------------------------------------------------------------------------
\10\ 15 U.S.C. 78s(b)(3)(A)(iii).
\11\ 17 CFR 240.19b-4(f)(6).
---------------------------------------------------------------------------
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 shall institute proceedings under
Section 19(b)(2)(B) \12\ of the Act to determine whether the proposed
rule change should be approved or disapproved.
---------------------------------------------------------------------------
\12\ 15 U.S.C. 78s(b)(2)(B).
---------------------------------------------------------------------------
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:
[[Page 27120]]
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#b0c2c5dcd59dd3dfddddd5dec4c3f0c3d5d39ed7dfc6"><span class="__cf_email__" data-cfemail="7604031a135b15191b1b131802053605131558111900">[email protected]</span></a>. Please include
file number SR-24X-2026-11 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-24X-2026-11. 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-24X-2026-11 and should be submitted on
or before June 3, 2026.
For the Commission, by the Division of Trading and Markets,
pursuant to delegated authority.\13\
---------------------------------------------------------------------------
\13\ 17 CFR 200.30-3(a)(12).
---------------------------------------------------------------------------
Vanessa A. Countryman,
Secretary.
[FR Doc. 2026-09477 Filed 5-12-26; 8:45 am]
BILLING CODE 8011-01-P
</pre><script data-cfasync="false" src="/cdn-cgi/scripts/5c5dd728/cloudflare-static/email-decode.min.js"></script></body>
</html>Indexed from Federal Register on May 13, 2026.
This is legal information, not legal advice. Laws vary by jurisdiction and change frequently. Always verify current law with official sources and consult a licensed attorney in your jurisdiction for advice on your specific situation.