[Federal Register Volume 87, Number 142 (Tuesday, July 26, 2022)]
[Notices]
[Pages 44475-44477]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 2022-15935]


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SECURITIES AND EXCHANGE COMMISSION

[Release No. 34-95343; File No. SR-EMERALD-2022-24]


Self-Regulatory Organizations; MIAX Emerald, LLC; Notice of 
Filing and Immediate Effectiveness of a Proposed Rule Change To Amend 
Exchange Rule 515 To Make Minor, Non-Substantive Edits

July 20, 2022.
    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 July 18, 2022, MIAX Emerald, LLC (``MIAX Emerald'' or 
``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 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

    The Exchange proposes to make a number of minor, non-substantive 
edits to Exchange Rule 515, Execution of Orders and Quotes.
    The text of the proposed rule change is available on the Exchange's 
website at https://www.miaxoptions.com/rule-filings/emerald, at MIAX 
Emerald's

[[Page 44476]]

principal office, and at the Commission's Public Reference Room.

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 Exchange Rule 515 to make minor, 
non-substantive edits and clarifying changes to provide accuracy, 
precision, and ease of reference within the rule text.
    First, the Exchange proposes to amend current subparagraph (a) to 
add the word ``the'' at the end of the last sentence in the first 
paragraph for grammatical correctness and clarity in the Rule text. 
Accordingly, with the proposed change, the last sentence in the first 
paragraph of subparagraph (a) will read as follows: ``Orders and quotes 
that could not be executed because the executions would be at prices 
inferior to the NBBO will be handled in accordance with the Managed 
Interest Process for orders described in paragraph (c)(1)(ii) below or 
in accordance with the process for handling Market Maker orders and 
quotes described in paragraph (d) below.''
    The Exchange also proposes to amend several paragraphs and 
subsections to make corrective changes to the numerical and 
alphabetical list item identifiers to properly conform to the 
hierarchical heading scheme and list item identifiers used throughout 
the Exchange's rulebook. The Exchange notes that anytime there is block 
text in a paragraph or subsection that contains a list of numbered 
clauses or items that are not specifically broken out into their own 
subsections, the Exchange uses romanettes to identify each clause or 
item. Accordingly, the Exchange proposes to amend current subparagraph 
(h)(3) of Exchange Rule 515 that contains independent clauses currently 
numbered ``(A)'' through ``(D)'' to now be renumbered ``(i)'' through 
``(iv)'', respectively. The Exchange also proposes to amend current 
subparagraph (h)(4) that contains independent clauses currently 
numbered ``(A)'', ``(B)'', and ``(C)'' to now be renumbered to ``(i)'', 
``(ii)'', and ``(iii)'', respectively. The purpose of all these 
proposed changes is to promote consistency and clarity within the 
Exchange's Rulebook and conform to the existing identification scheme.
2. Statutory Basis
    The Exchange believes that the proposed rule changes are consistent 
with Section 6(b) of the Act \3\ in general, and furthers [sic] the 
objectives of Section 6(b)(5) of the Act \4\ in particular, in that 
they are designed to prevent fraudulent and manipulative acts and 
practices, promote just and equitable principles of trade, foster 
cooperation and coordination with persons engaged in regulating, 
clearing, settling, processing information with respect to, and 
facilitating transactions in securities, remove impediments to and 
perfect the mechanisms [sic] of a free and open market and a national 
market system and, in general, protect investors and the public 
interest.
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    \3\ 15 U.S.C. 78f(b).
    \4\ 15 U.S.C. 78f(b)(5).
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    The Exchange believes the proposed changes to Exchange Rule 515 
promote just and equitable principles of trade and remove impediments 
to and perfect the mechanism of a free and open market and a national 
market system because the proposed rule changes will provide greater 
clarity to Members \5\ and the public regarding the Exchange's Rules by 
correcting a grammatical error and conforming the numbering in Exchange 
Rule 515 to the existing identification scheme in the Exchange's 
rulebook. It is in the public interest for rules to be accurate and 
concise so as to eliminate the potential for confusion.
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    \5\ The term ``Member'' means an individual or organization 
approved to exercise the trading rights associated with a Trading 
Permit. Members are deemed ``members'' under the Exchange Act. See 
Exchange Rule 100.
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B. Self-Regulatory Organization's Statement on Burden on Competition

    The Exchange does not believe that the proposed rule changes will 
impose any burden on competition not necessary or appropriate in 
furtherance of the purposes of the Act. Specifically, the Exchange 
believes the proposed changes will not impose any burden on intra-
market competition as there is no functional change to the Exchange's 
System \6\ and because the rules of the Exchange apply to all MIAX 
Emerald participants equally. The Exchange believes the proposed rule 
changes will have [sic] not impose any burden on intra-market 
competition as the proposed changes are not designed to address any 
competitive issue but rather are designed to remedy minor non-
substantive issues and provide added precision and accuracy to the rule 
text of Exchange Rule 515. In addition, the Exchange does not believe 
the proposal will impose any burden on inter-market competition as the 
proposal does not address any competitive issues and is intended to 
protect investors by providing further transparency and precision for 
referencing the Exchange's Rules.
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    \6\ The term ``System'' means the automated trading system used 
by the Exchange for the trading of securities. See Exchange Rule 
100.
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C. Self-Regulatory Organization's Statement on Comments on the Proposed 
Rule Change Received From Members, Participants, or Others

    Written comments were neither solicited nor received.

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

    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; and (iii) 
become operative for 30 days after the date of the filing, or such 
shorter time as the Commission may designate, it has become effective 
pursuant to 19(b)(3)(A) of the Act \7\ and Rule 19b-4(f)(6) \8\ 
thereunder.
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    \7\ 15 U.S.C. 78s(b)(3)(A).
    \8\ 17 CFR 240.19b-4(f)(6). In addition, Rule 19b-4(f)(6) 
requires a self-regulatory organization to give the Commission 
written notice of its intent to file 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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    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 to 
determine whether the proposed rule should be approved or disapproved.

[[Page 44477]]

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

     Use the Commission's internet comment form (https://www.sec.gov/rules/sro.shtml); or
     Send an email to [email protected]. Please include 
File Number SR-EMERALD-2022-24.

Paper Comments

     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-EMERALD-2022-24. 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 (https://www.sec.gov/rules/sro.shtml). Copies of the submission, all subsequent amendments, all 
written statements with respect to the proposed rule change that are 
filed with the Commission, and all written communications relating to 
the proposed rule change between the Commission and any person, other 
than those that may be withheld from the public in accordance with the 
provisions of 5 U.S.C. 552, will be available for website viewing and 
printing in the Commission's Public Reference Room, 100 F Street NE, 
Washington, DC 20549, on official business days between the hours of 
10:00 a.m. and 3:00 p.m. Copies of the filing also will be available 
for inspection and copying at the principal office of the Exchange. All 
comments received will be posted without change. Persons submitting 
comments are cautioned that we do not redact or edit personal 
identifying information from comment submissions. You should submit 
only information that you wish to make available publicly. All 
submissions should refer to File Number SR-EMERALD-2022-24, and should 
be submitted on or before August 16, 2022.
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    \9\ 17 CFR 200.30-3(a)(12).

    For the Commission, by the Division of Trading and Markets, 
pursuant to delegated authority.\9\
J. Matthew DeLesDernier,
Deputy Secretary.
[FR Doc. 2022-15935 Filed 7-25-22; 8:45 am]
BILLING CODE 8011-01-P