Federal Register / Vol. 88, No. 233 / Wednesday, December 6, 2023 / Notices 84853 

59 17 CFR 200.30–3(a)(12). 

1 15 U.S.C. 78s(b)(1). 

2 17 CFR 240.19b–4. 

including Bloomberg and Reuters, as 

well as the Index. Information relating 

to trading, including price and volume 

information, in ETH is available from 

major market data vendors and from the 

trading platforms on which ETH are 

traded. Depth of book information is 

also available from ETH trading 

platforms. The normal trading hours for 

ETH trading platforms are 24 hours per 

day, 365 days per year. 

In sum, the Exchange believes that 

this proposal is consistent with the 

requirements of Section 6(b)(5) of the 

Act, that this filing sufficiently 

demonstrates that the CME ETH Futures 

market represents a regulated market of 

significant size, and that on the whole 

the manipulation concerns previously 

articulated by the Commission are 

sufficiently mitigated to the point that 

they are outweighed by investor 

protection issues that would be resolved 

by approving this proposal. For the 

above reasons, the Exchange believes 

that the proposed rule change is 

consistent with the requirements of 

Section 6(b)(5) of the Act. 

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 purpose of the Act. The Exchange 

notes that the proposed rule change, 

rather will facilitate the listing and 

trading of an additional exchange-traded 

product that will enhance competition 

among both market participants and 

listing venues, to the benefit of investors 

and the marketplace. 

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 

Within 45 days of the date of 

publication of this notice in the Federal 

Register or within such longer period 

up to 90 days (i) as the Commission may 

designate if it finds such longer period 

to be appropriate and publishes its 

reasons for so finding or (ii) as to which 

the Exchange consents, the Commission 

will: 

A. by order approve or disapprove 

such proposed rule change, or 

B. institute proceedings to determine 

whether the proposed rule change 

should be 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 rule-comments@

sec.gov. Please include file number SR– 

CboeBZX–2023–095 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–CboeBZX–2023–095. 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 

a.m. and 3 p.m. 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–CboeBZX–2023–095 and should be 

submitted on or before December 27, 

2023. 

For the Commission, by the Division of 

Trading and Markets, pursuant to delegated 

authority.59

Sherry R. Haywood, 

Assistant Secretary. 

[FR Doc. 2023–26731 Filed 12–5–23; 8:45 am] 

BILLING CODE 8011–01–P 

SECURITIES AND EXCHANGE 

COMMISSION 

[Release No. 34–99044; File No. SR– 

NASDAQ–2023–049] 

Self-Regulatory Organizations; The 

Nasdaq Stock Market LLC; Notice of 

Filing and Immediate Effectiveness of 

Proposed Rule Change To Adopt a 

New LSTY Routing Option Under Rule 

4758 

November 30, 2023. 

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 November 

16, 2023, The Nasdaq Stock Market LLC 

(‘‘Nasdaq’’ or ‘‘Exchange’’) filed with the 

Securities and Exchange Commission 

(‘‘SEC’’ or ‘‘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. 

I. Self-Regulatory Organization’s 

Statement of the Terms of Substance of 

the Proposed Rule Change 

The Exchange proposes to adopt a 

new LSTY routing option under Rule 

4758. 

The text of the proposed rule change 

is available on the Exchange’s website at 

https://listingcenter.nasdaq.com/ 

rulebook/nasdaq/rules, at the principal 

office of the Exchange, 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 


lotter on DSK11XQN23PROD with NOTICES1
84854 Federal Register / Vol. 88, No. 233 / Wednesday, December 6, 2023 / Notices 

3Routing is an Order Attribute that allows a 

Participant to designate an Order to employ one of 

several Routing Strategies (also called ‘‘routing 

options’’) offered by Nasdaq, as described in Rule 

4758; such an Order may be referred to as a 

‘‘Routable Order.’’ Upon receipt of an Order with 

the Routing Order Attribute, the System will 

process the Order in accordance with the applicable 

Routing Strategy. In the case of a limited number 

of Routing Strategies, the Order will be sent directly 

to other market centers for potential execution. For 

most other Routing Strategies, the Order will 

attempt to access liquidity available on Nasdaq in 

the manner specified for the underlying Order Type 

and will then be routed in accordance with the 

applicable Routing Strategy. Shares of the Order 

that cannot be executed are then returned to 

Nasdaq, where they will (i) again attempt to access 

liquidity available on Nasdaq and (ii) post to the 

Nasdaq Book or be cancelled, depending on the 

Time-in-Force of the Order. See Rule 4703(f). 

4LIST is a routing option designed to allow 

orders to participate in the opening and/or closing 

process of the primary listing market for a security. 

See Nasdaq Rule 4758(a)(1)(A)(x). 

5 15 U.S.C. 78f(b). 

6 15 U.S.C. 78f(b)(5). 

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 

Equity 4, Rule 4758 to add subsection 

(a)(1)(A)(x)b. for a new routing option 3

called LSTY. The proposed LSTY 

voluntary routing option arose out of 

client interest in Nasdaq amending its 

rules to create a new routing strategy 

similar to the existing LIST strategy.4

Clients currently using the LIST routing 

strategy have requested that Nasdaq 

provide a version of this strategy that 

will look to access available liquidity at 

their limit price or better by rerouting to 

away market centers in the event their 

order is locked or crossed by an away 

market center while the order is on the 

book. This proposed change will 

introduce a new variation of the LIST 

strategy, called LSTY, that will share all 

existing functionality with LIST with 

the exception of routing to away market 

centers after an order is booked. 

After the security has opened on its 

primary listing market, a LIST order that 

has not been designated opening only 

and that has not been fully executed, 

rejected, or cancelled will be returned to 

the Nasdaq system (the ‘‘System’’). 

Thereafter, the order will check the 

System for available shares and 

simultaneously route the remaining 

shares to destinations on the System 

routing table. Any remaining shares are 

posted on the Nasdaq book. In addition, 

if a LIST order is entered after the 

security has opened on the primary 

listing market (but prior to two minutes 

before market close) and the order has 

not been designated to participate in the 

opening only, Nasdaq will check the 

System for available shares and 

simultaneously route the remaining 

shares to destinations on the System 

routing table, with remaining shares 

posted on the book. 

Once the order is on the book, orders 

entered with the LIST routing option do 

not route the order to the locking or 

crossing market center. With the 

proposed LSTY routing option, once on 

the book, should the order subsequently 

be locked or crossed by another market 

center, the System will route the order 

to the locking or crossing market center. 

Two minutes before market close, all 

LIST orders on the book will begin 

routing to the security’s primary listing 

market for participation in its closing 

process. If a LIST order is received at or 

after a time that is two minutes before 

market close but before market close, 

Nasdaq will check the System for 

available shares and simultaneously 

route the remaining shares to 

destinations on the System routing 

table; remaining shares will be routed to 

the security’s primary listing market to 

participate in its closing process. 

In sum, LSTY is a routing option that 

is a variation of the LIST routing option 

and shares all the existing functionality 

with the exception that after an order is 

booked, if the order is subsequently 

locked or crossed by another market 

center, the System will route the order 

to the locking or crossing market center. 

The System will only route an order to 

the locking or crossing market center 

after the security has opened on the 

primary listing market and prior to two 

minutes before market close. 

2. Statutory Basis 

The Exchange believes that its 

proposal is consistent with Section 6(b) 

of the Act,5 in general, and furthers the 

objectives of Section 6(b)(5) of the Act,6

in particular, in that it is designed to 

promote just and equitable principles of 

trade, 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. 

In particular, the proposed rule 

change will satisfy the objectives of 

Section 6(b)(5) of the Act by providing 

market participants with an additional 

voluntary routing strategy that is similar 

to the existing LIST strategy, except 

where that System will route an order 

to the locking or crossing market center 

should the order subsequently be locked 

or crossed by another accessible market 

center once the order is on the book. 

The proposed change is designed to 

route to locking or crossing quotations, 

which clears locked or crossed market 

conditions and helps support fair and 

orderly markets that protects investors 

and the public interest. 

Nasdaq also believes the proposal is 

not designed to permit unfair 

discrimination among market 

participants because the proposal is for 

a voluntary routing option and will be 

available to any market participant that 

so chooses to use it. Additionally, as the 

Exchange notes above, the LSTY routing 

option is similar to the existing LIST 

routing option already offered by the 

Exchange. 

For the foregoing reasons, the 

Exchange believes that the proposed 

rule change is consistent with the Act. 

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 not 

necessary or appropriate in furtherance 

of the purposes of the Act. 

The Exchange does not believe that 

the proposed rule change will impose 

any burden on competition not 

necessary or appropriate in furtherance 

of the purposes of the Act. As discussed 

above, the proposed routing option is 

voluntary and similar to an existing 

routing option. Furthermore, the 

Exchange provides routing services in a 

highly competitive market in which 

participants may avail themselves of a 

wide variety of routing options offered 

by other exchanges, alternative trading 

systems, other broker-dealers, market 

participants’ own proprietary routing 

systems, and service bureaus. In such an 

environment, system enhancements 

such as the changes proposed in this 

rule filing do not burden competition, 

because they can succeed in attracting 

order flow to the Exchange only if they 

offer investors higher quality and better 

value than services offered by others. 

Encouraging competitors to provide 

higher quality and better value is the 

essence of a well-functioning 

competitive marketplace. 

For the foregoing reasons, the 

Exchange does not believe the proposed 

rule change will result in any burden on 

competition that is not necessary or 

appropriate in furtherance of the 

purposes of 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 either 

solicited or received. 


lotter on DSK11XQN23PROD with NOTICES1
Federal Register / Vol. 88, No. 233 / Wednesday, December 6, 2023 / Notices 84855 

7 15 U.S.C. 78s(b)(3)(A)(iii). 

8 17 CFR 240.19b–4(f)(6). 

9 15 U.S.C. 78s(b)(3)(A). 

10 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 the Exchange’s 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. 

11 17 CFR 240.19b–4(f)(6). 

12 17 CFR 240.19b–4(f)(6)(iii). 

13For purposes only of waiving the 30-day 

operative delay, the Commission has considered the 

proposed rule’s impact on efficiency, competition, 

and capital formation. See 15 U.S.C. 78c(f). 14 15 U.S.C. 78s(b)(2)(B). 

15 17 CFR 200.30–3(a)(12). 

1 15 U.S.C. 78s(b)(1). 

2 15 U.S.C. 78a. 

3 17 CFR 240.19b–4. 

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)(iii) of the Act 7 and Rule 

19b–4(f)(6) thereunder.8 Because the 

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 

prior to 30 days from the date on which 

it was filed, or such shorter time as the 

Commission may designate, if 

consistent with the protection of 

investors and the public interest, the 

proposed rule change has become 

effective pursuant to Section 19(b)(3)(A) 

of the Act 9 and Rule 19b–4(f)(6)(iii) 

thereunder.10

A proposed rule change filed under 

Rule 19b–4(f)(6) 11 normally does not 

become operative prior to 30 days after 

the date of the filing. However, pursuant 

to Rule 19b4(f)(6)(iii),12 the Commission 

may designate a shorter time if such 

action is consistent with the protection 

of investors and the public interest. The 

Exchange has asked the Commission to 

waive the 30-day operative delay so that 

the proposal may become operative 

immediately upon filing. The Exchange 

states that it wants to implement the 

LSTY routing option during the 4th 

quarter of 2023 and granting the waiver 

would allow market participants and 

their customers to benefit more 

immediately from the increased order 

handling flexibility provided by the 

LSTY routing option. In addition, the 

Exchange stated that the proposed rule 

change presents no unique or novel 

issues that have not already been 

addressed by the Commission. 

Accordingly, the Commission hereby 

waives the 30-day operative delay and 

designates the proposal operative upon 

filing.13

At any time within 60 days of the 

filing of such 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) 14 of the Act 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 rule-comments@

sec.gov. Please include file number SR– 

NASDAQ–2023–049 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–NASDAQ–2023–049. 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 

a.m. and 3 p.m. 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–NASDAQ–2023–049 and should be 

submitted on or before December 27, 

2023. 

For the Commission, by the Division of 

Trading and Markets, pursuant to delegated 

authority.15

Sherry R. Haywood, 

Assistant Secretary. 

[FR Doc. 2023–26725 Filed 12–5–23; 8:45 am] 

BILLING CODE 8011–01–P 

SECURITIES AND EXCHANGE 

COMMISSION 

[Release No. 34–99057; File No. SR– 

NYSECHX–2023–23] 

Self-Regulatory Organizations; NYSE 

Chicago, Inc.; Notice of Filing and 

Immediate Effectiveness of Proposed 

Rule Change To Update Citations to 

Rule 600(b) of Regulation National 

Market System 

November 30, 2023. 

Pursuant to Section 19(b)(1) 1 of the 

Securities Exchange Act of 1934 (‘‘Act’’ 

or ‘‘Exchange Act’’) 2 and Rule 19b–4 

thereunder,3 notice is hereby given that 

on November 20, 2023, NYSE Chicago, 

Inc. (‘‘Exchange’’) filed with the 

Securities and Exchange Commission 

(‘‘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. 

I. Self-Regulatory Organization’s 

Statement of the Terms of Substance of 

the Proposed Rule Change 

The Exchange proposes to update 

citations to Rule 600(b) of Regulation 

National Market System (‘‘Regulation 

NMS’’) in Rule 6.6810 (Consolidated 

Audit Trail—Definitions); Rule 7.31 

(Orders and Modifiers); Article 1, Rule 

1 (Definitions); Article 1, Rule 2 (Order 

Types, Modifiers, and Related Terms); 

Article 9, Rule 17 (Prohibition Against 

Trading Ahead of Customer Orders); 

and Article 20, Rule 5 (Prevention of 

Trade-Throughs). The proposed rule 

change is available on the Exchange’s 

website at www.nyse.com, at the 

principal office of the Exchange, and at 


lotter on DSK11XQN23PROD with NOTICES1