Self-Regulatory Organizations; MEMX LLC; Notice of Filing and Immediate Effectiveness of a Proposed Rule Change To Amend Rule 13.4(a) To Reflect the Operation of TXSE Exchange

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<title>Federal Register, Volume 91 Issue 161 (Friday, August 21, 2026)</title>
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[Federal Register Volume 91, Number 161 (Friday, August 21, 2026)]
[Notices]
[Pages 54414-54415]
From the Federal Register Online via the Government Publishing Office [<a href="http://www.gpo.gov">www.gpo.gov</a>]
[FR Doc No: 2026-17062]


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SECURITIES AND EXCHANGE COMMISSION

[Release No. 34-106156; File No. SR-MEMX-2026-26]


Self-Regulatory Organizations; MEMX LLC; Notice of Filing and 
Immediate Effectiveness of a Proposed Rule Change To Amend Rule 13.4(a) 
To Reflect the Operation of TXSE Exchange

August 18, 2026.
    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 August 12, 2026, MEMX LLC (``MEMX'' 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 Exchange. The Exchange filed the proposal as 
a ``non-controversial'' proposed rule change pursuant to Section 
19(b)(3)(A)(iii) of the Act \3\ and Rule 19b-4(f)(6) 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.
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I. Self-Regulatory Organization's Statement of the Terms of Substance 
of the Proposed Rule Change

    The Exchange is filing with the Commission a proposed rule change 
to amend Rule 13.4(a) regarding the public disclosure of the sources of 
data that the Exchange utilizes when performing: (i) order handling; 
(ii) order routing; (iii) order execution; and (iv) related compliance 
processes to reflect the operation of the Texas Stock Exchange LLC 
(``TXSE Exchange'') as a registered national securities exchange \5\ 
beginning on July 6, 2026.\6\ The text of the proposed rule change is 
provided in Exhibit 5 and is available on the Exchange's website at 
<a href="https://info.memxtrading.com/regulation/rules-and-filings/">https://info.memxtrading.com/regulation/rules-and-filings/</a>.
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    \5\ See Securities Exchange Act Release No. 104146 (September 
30, 2025), 90 FR 47880 (October 2, 2025).
    \6\ See Texas Stock Exchange launches trading in test of 
upstart's challenge to Wall Street (dated July 3, 2026) at: <a href="https://www.texastribune.org/2026/07/03/texas-stock-exchange-launch-trading/">https://www.texastribune.org/2026/07/03/texas-stock-exchange-launch-trading/</a>
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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 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 amend Rule 13.4(a) (Usage of Data Feeds) 
regarding the public disclosure of the sources of data that the 
Exchange utilizes when performing: (i) order handling; (ii) order 
routing; (iii) order execution; and (iv) related compliance processes 
to reflect the operation of the TXSE Exchange as a registered national 
securities exchange.\7\ On September 30, 2025, the Commission approved 
TXSE Exchange's application to register as a national securities 
exchange.\8\ On July 6, 2026, TXSE Exchange launched its initial 
trading operations.\9\ The Exchange, therefore, proposes to update Rule 
13.4(a) regarding the public disclosure of the sources of data that the 
Exchange utilizes when performing: (i) order handling; (ii) order 
routing; (iii) order execution; and (iv) related compliance processes 
to reflect the operation of TXSE Exchange as a registered national 
securities exchange beginning on July 6, 2026. Specifically, the 
Exchange proposes to amend Rule 13.4(a) to include TXSE Exchange by 
stating it will utilize TXSE Exchange market data from the Consolidated 
Quotation System (``CQS'')/UTP Quotation Data Feed (``UQDF'') for 
purposes of order handling, routing, execution, and related compliance 
processes.
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    \7\ The Exchange notes that all the rules of Chapter 13 of MEMX, 
including Rule 13.4, are incorporated by reference into the rulebook 
of MX2, LLC.
    \8\ See supra note 5.
    \9\ See supra note 6.
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2. Statutory Basis
    The Exchange believes the proposed rule change is consistent with 
the Act and the rules and regulations thereunder applicable to the 
Exchange and, in particular, the requirements of Section 6(b) of the 
Act.\10\ Specifically, the Exchange believes the proposed rule change 
is consistent with the Section 6(b)(5) \11\ 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

[[Page 54415]]

system, and, in general, to protect investors and the public interest.
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    \10\ 15 U.S.C. 78f(b).
    \11\ 15 U.S.C. 78f(b)(5).
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    In particular, the Exchange believes that the proposal to update 
Rule 13.4(a) to include TXSE Exchange will ensure that the Rule 
publicly states on a market-by-market basis all of the specific network 
processor and proprietary data feeds that the Exchange utilizes for the 
handling, routing, and execution of orders, and for performing the 
regulatory compliance checks related to each of those functions. The 
proposed rule change also removes impediments to and perfects the 
mechanism of a free and open market and protects investors and the 
public interest because it provides additional specificity, clarity and 
transparency.

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. To the contrary, the 
Exchange believes the proposal would enhance competition because 
including all of the exchanges enhances transparency and enables 
investors to better assess the quality of the Exchange's execution and 
routing services.

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 Exchange has filed the proposed rule change pursuant to Section 
19(b)(3)(A) of the Act \12\ and Rule 19b-4(f)(6) \13\ thereunder. 
Because the foregoing proposed rule change does not: (i) significantly 
affect the protection of investors or the public interest; (ii) impose 
any significant burden on competition; or (iii) become operative for 30 
days from the date on which it was filed, or such shorter time as the 
Commission may designate, it has become effective pursuant to Section 
19(b)(3)(A) of the Act \14\ and Rule 19b-4(f)(6) \15\ thereunder.
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    \12\ 15 U.S.C. 78s(b)(3)(A).
    \13\ 17 CFR 240.19b-4(f)(6).
    \14\ 15 U.S.C. 78s(b)(3)(A).
    \15\ 17 CFR 240.19b-4(f)(6). In addition, Rule 19b-4(f)(6)(iii) 
requires the Exchange to give the Commission written notice of its 
intent to file the proposed rule change, along with a brief 
description and text of the proposed rule change, at least five 
business days prior to the date of filing of the proposed rule 
change, or such shorter time as designated by the Commission. The 
Exchange has satisfied this requirement.
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    A proposed rule change filed under Rule 19b-4(f)(6) \16\ normally 
does not become operative prior to 30 days after the date of the 
filing. However, pursuant to Rule 19b-4(f)(6)(iii),\17\ the Commission 
may designate a shorter time if such action is consistent with 
protection of investors and the public interest. The Exchange has asked 
the Commission to waive the 30-day operative delay so that the proposed 
rule change may become operative immediately upon filing. In support of 
its request, the Exchange states that the proposed rule change is being 
submitted solely to provide specificity regarding the Exchange's use of 
data feeds, and it is in the public interest for the Exchange's 
rulebook to be specific, clear, and transparent. Waiver of the 30-day 
operative delay is consistent with the protection of investors and the 
public interest because the proposal provides clarity and avoids 
potential confusion by updating MEMX Rule 13.4(a) to specify which data 
feeds would be used for the TXSE Exchange for purposes of order 
handling, routing, execution, and related compliance processes, and 
does not introduce any novel regulatory issues. Accordingly, the 
Commission designates the proposed rule change to be operative upon 
filing.\18\
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    \16\ 17 CFR 240.19b-4(f)(6).
    \17\ 17 CFR 240.19b-4(f)(6)(iii).
    \18\ For purposes only of waiving the 30-day operative delay, 
the Commission also has considered the proposed rule's impact on 
efficiency, competition, and capital formation. See 15 U.S.C. 
78c(f).
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    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.

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#057770696028666a6868606b7176457660662b626a73"><span class="__cf_email__" data-cfemail="e597908980c8868a8888808b9196a5968086cb828a93">[email&#160;protected]</span></a>. Please include 
file number SR-MEMX-2026-26 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-MEMX-2026-26. 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 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 SR-MEMX-2026-26 and should be submitted on 
or before September 11, 2026.

    For the Commission, by the Division of Trading and Markets, 
pursuant to delegated authority.\19\
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    \19\ 17 CFR 200.30-3(a)(12).
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Sherry R. Haywood,
Assistant Secretary.
[FR Doc. 2026-17062 Filed 8-20-26; 8:45 am]
BILLING CODE 8011-01-P


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