[Federal Register Volume 90, Number 182 (Tuesday, September 23, 2025)]
[Notices]
[Pages 45838-45840]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 2025-18368]
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SECURITIES AND EXCHANGE COMMISSION
[Release No. 34-104003; File No. SR-SAPPHIRE-2025-38]
Self-Regulatory Organizations; MIAX Sapphire, LLC; Notice of
Filing of a Proposed Rule Change To Update the Citations to Rule 600(b)
of Regulation NMS
September 18, 2025.
Pursuant to the provisions of 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 September 11, 2025, MIAX Sapphire, LLC (``MIAX
Sapphire'' or ``Exchange'') filed with the Securities and Exchange
Commission (``Commission'') a 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 update the citations to Rule 600(b) of
Regulation NMS.
The text of the proposed rule change is available on the Exchange's
website at https://www.miaxglobal.com/markets/us-options/miax-sapphire/rule-filings, and at the Exchange's principal office.
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 update citations to Rule 600(b) of
Regulation NMS in Exchange Rule 100, Definitions, Interpretation and
Policy .01 to Exchange Rule 518, Complex Orders, and Exchange Rule 530,
Limit Up-Limit Down.
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.\3\ 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
Regular Trading Hours (formerly Rule 600(b)(77)), NMS Stock (formerly
Rule 600(b)(55)), and Trading Center (formerly Rule 600(b)(95) or Rule
600(b)(82) \4\).
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\3\ See Securities Exchange Act Release No. 99679, 89 FR 26428
(April 15, 2024) (S7-29-22).
\4\ See Securities Exchange Act Release No. 90610, 86 FR 18596
(April 9, 2021) (S7-03-20) (removing the text ``Sec.
242.600(b)(82)'' and adding in its place ``Sec. 242.600(b)(95)'').
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The Exchange accordingly proposes to update the relevant citations
to Rule 600(b) in its rules as follows:
The citation to the definition of NMS Stock in
Interpretation and Policy .01(b) to Exchange Rules 518 would be changed
to Rule 600(b)(65) of Regulation NMS.
The citations to the definition of Trading Center in
Exchange Rule 100 and Interpretation and Policy .01(b) to Exchange Rule
518 would be changed to Rule 600(b)(106) of Regulation NMS.
The citation to the definition of Regular Trading Hours in
Exchange Rule 530(a) would be changed to Rule 600(b)(88) of Regulation
NMS.
2. Statutory Basis
The Exchange believes that the proposed changes are consistent with
Section 6(b) of the Act \5\ in general, and further the objectives of
Section 6(b)(1) of the Act \6\ in particular, in that they are designed
to enforce compliance by the Exchange's Members \7\ and persons
associated with its Members, with the provisions of the rules of the
Exchange. In particular, the proposed changes to update the citations
to Rule 600(b) of Regulation NMS are to correct inaccurate rule
citations, thereby reducing potential confusion and ensuring that those
subject to the Exchange's jurisdiction, regulators, and the investing
public can more easily navigate and understand the Exchange's Rulebook.
The Exchange believes that the proposed changes will help enforce
compliance with the Exchange's rules by providing clarity and
consistency within the Exchange's Rulebook, thereby making it easier
for Members to interpret the Exchange's Rulebook. The Exchange believes
that Members would benefit from the increased clarity and consistency,
thereby alleviating potential investor or market participant confusion.
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\5\ 15 U.S.C. 78f(b).
\6\ 15 U.S.C. 78f(b)(1).
\7\ The term ``Member'' means an individual or organization that
is registered with the Exchange pursuant to Chapter II of the
Exchange's Rules for purposes of trading on the Exchange as an
``Electronic Exchange Member'' or ``Market Maker.'' Members are
deemed ``members'' under the Exchange Act. See Exchange Rule 100.
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The Exchange believes that the proposed rule changes also further
the objectives of Section 6(b)(5) of the Act.\8\ In particular, they
are designed to prevent fraudulent and manipulative
[[Page 45839]]
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 of a free and open market and a national market
system and, in general, protect investors and the public interest. The
Exchange believes the proposed changes 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 and the
public regarding the Exchange's Rulebook by updating citations to Rule
600(b) of Regulation NMS. The proposed changes to update the citations
to Rule 600(b) of Regulation NMS are to correct inaccurate rule
citations. It is in the public interest for the Exchange's Rulebook to
be accurate and concise so as to eliminate the potential for confusion.
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\8\ 15 U.S.C. 78f(b)(5).
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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.
Intramarket Competition
The Exchange believes the proposed rule changes do not impose any
burden on intramarket competition that is not necessary or appropriate
in furtherance of the purposes of the Act as there is no functional
change to the Exchange's System \9\ and because the rules of the
Exchange apply to all Members equally. The proposed rule changes are
not intended to address competitive issues but rather are concerned
solely with updating citations to Rule 600(b) of Regulation NMS. The
purpose of the proposed changes is to provide accuracy and consistency
within the Exchange's Rulebook and eliminate the potential for
confusion.
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\9\ 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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Intermarket Competition
The Exchange believes the proposed rule changes do not impose any
burden on intermarket competition that is not necessary or appropriate
in furtherance of the purposes of the Act. The proposed rule changes
are not intended to address competitive issues but rather are concerned
solely with updating citations to Rule 600(b) of Regulation NMS. The
purpose of the proposed changes is to provide accuracy and consistency
within the Exchange's Rulebook and eliminate the potential for
confusion.
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
The Exchange has filed the proposed rule change pursuant to Section
19(b)(3)(A) of the Act \10\ and Rule 19b-4(f)(6) \11\ 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 \12\ and Rule 19b-4(f)(6) \13\ thereunder.
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\10\ 15 U.S.C. 78(b)(3)(A).
\11\ 17 CFR 240.19b-4(f)(6).
\12\ 15 U.S.C. 78s(b)(3)(A).
\13\ 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) \14\ normally
does not become operative prior to 30 days after the date of the
filing. However, pursuant to Rule 19b-4(f)(6)(iii),\15\ 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. The
Commission finds that waiving the 30-day operative delay is consistent
with the protection of investors and the public interest because it
will allow the Exchange to immediately amend its rules to correct
citations to Rule 600(b) of Regulation NMS in order to alleviate
potential investor or market participant confusion, and does not
introduce any novel regulatory issues. Accordingly, the Commission
waives the 30-day operative delay and designates the proposed rule
change to be operative upon filing.\16\
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\14\ 17 CFR 240.19b-4(f)(6).
\15\ 17 CFR 240.19b-4(f)(6)(iii).
\16\ 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
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-SAPPHIRE-2025-38 on the subject line.
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-SAPPHIRE-2025-38. 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 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-SAPPHIRE-2025-38 and should be submitted
on or before October 14, 2025.
[[Page 45840]]
For the Commission, by the Division of Trading and Markets,
pursuant to delegated authority.\17\
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\17\ 17 CFR 200.30-3(a)(12) and (59).
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Sherry R. Haywood,
Assistant Secretary.
[FR Doc. 2025-18368 Filed 9-22-25; 8:45 am]
BILLING CODE 8011-01-P