2958 Federal Register / Vol. 87, No. 12 / Wednesday, January 19, 2022 / Notices 

16 15 U.S.C. 78s(b)(3)(A). 

17 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. 

18 17 CFR 200.30–3(a)(12). 

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

2 17 CFR 240.19b–4. 

3See Securities Exchange Act Release No. 90176 

(October 14, 2020), 85 FR 66592 (October 20, 2020) 

(SR–FINRA–2020–032) (Notice of Filing and 

Immediate Effectiveness of a Proposed Rule Change 

To Adjust FINRA Fees To Provide Sustainable 

Funding for FINRA’s Regulatory Mission) (the 

‘‘FINRA Fee Filing’’). 

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 16 and Rule 19b–4(f)(6) 17

thereunder. 

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. 

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 (http://www.sec.gov/ 

rules/sro.shtml); or 

• Send an email to rule-comments@

sec.gov. Please include File Number SR– 

PEARL–2022–02 on the subject line. 

Paper Comments 

• Send paper comments in triplicate 

to Vanessa Countryman, Secretary, 

Securities and Exchange Commission, 

100 F Street NE, Washington, DC 

20549–1090. 

All submissions should refer to File 

Number SR–PEARL–2022–02. 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 (http://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–PEARL–2022–02 and 

should be submitted on or before 

February 9, 2022. 

For the Commission, by the Division of 

Trading and Markets, pursuant to delegated 

authority.18

J. Matthew DeLesDernier, 

Assistant Secretary. 

[FR Doc. 2022–00878 Filed 1–18–22; 8:45 am] 

BILLING CODE 8011–01–P 

SECURITIES AND EXCHANGE 

COMMISSION 

[Release No. 34–93954; File No. SR–MEMX– 

2021–20] 

Self-Regulatory Organizations; MEMX 

LLC; Notice of Filing and Immediate 

Effectiveness of a Proposed Rule 

Change To Amend Exchange Rule 

15.1(e) Regarding FINRA Registration 

and Processing Fees 

January 12, 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 December 

29, 2021, MEMX LLC (‘‘MEMX’’ or the 

‘‘Exchange’’) filed with the Securities 

and Exchange Commission (the 

‘‘Commission’’) the proposed rule 

change as described in Items I, II, and 

III 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 

(a) The Exchange is filing with the 

Commission a proposed rule change to 

amend Exchange Rule 15.1(e) to reflect 

adjustments to the Financial Industry 

Regulatory Authority, Inc. (‘‘FINRA’’) 

Registration and Processing Fees related 

to the Central Registration Depository 

System (‘‘CRD system’’), which will be 

collected by FINRA. While the changes 

proposed herein are effective upon 

filing, the Exchange has designated the 

amendments become operative on 

January 3, 2022.3 The text of the 

proposed rule change is provided in 

Exhibit 5. 

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 

Today, Exchange Rule 15.1(e) 

provides a list of FINRA Registration 

and Processing Fees that will be 

collected and retained by FINRA via the 

CRD system. The Exchange does not 

collect or retain these fees. The 

Exchange is proposing to amend 

Exchange Rule 15.1(e) to reflect 

adjustments to FINRA’s Registration and 

Processing Fees related to the CRD 


jspears on DSK121TN23PROD with NOTICES1
Federal Register / Vol. 87, No. 12 / Wednesday, January 19, 2022 / Notices 2959 

4The CRD system is the central licensing and 

registration system for the U.S. securities industry. 

The CRD system enables individuals and firms 

seeking registration with multiple states and selfregulatory organizations to do so by submitting a 

single form, fingerprint card and a combined 

payment of fees to FINRA. Through the CRD 

system, FINRA maintains the qualification, 

employment and disciplinary histories of registered 

associated persons of broker dealers. 

5See Exchange Rule 1.5(p). 

6Members that are also FINRA members are 

charged CRD system fees according to Section (4) 

of Schedule A to the FINRA By-Laws. 

7See supra note 3. 

8 15 U.S.C. 78f. 

9 15 U.S.C. 78f(b)(4) and (5). 

10See supra note 3. 

11See supra note 3. 

12See supra note 3. 

13See supra note 3. 

14See supra note 3. 

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

16 17 CFR 240.19b–4(f)(2). 

system.4 FINRA charges a single fee to 

register any representative or principal 

of a member firm in the CRD system 

irrespective of if the member firm is also 

a member of FINRA. Because FINRA 

separately collects the CRD system fee 

for any Member 5 that is also a FINRA 

member,6 this fee filing only applies to 

Members who are not FINRA members. 

Effective January 3, 2022, FINRA is 

increasing the fee it charges for each 

initial Form U4 filed for the registration 

of a representative or principal of any 

firm registered in the CRD system from 

$100 to $125.7 Accordingly, the 

Exchange is proposing to update 

Exchange Rule 15.1(e) to reflect the new 

$125 CRD system fee that will take 

effect starting January 3, 2022. Because 

these costs are borne by FINRA when a 

non-FINRA member uses the CRD 

system, FINRA will continue to collect 

and retain these fees for the registration 

of associated persons of Members that 

are not also FINRA members. 

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 Sections 6(b)(4) and 

6(b)(5) of the Act,9 in particular, in that 

it provides for the equitable allocation 

of reasonable dues, fees and other 

charges among its Members and other 

persons using its facilities and is not 

designed to permit unfair 

discrimination between customers, 

issuers, brokers, or dealers. All similarly 

situated Members are subject to the 

same fee structure, and every Member 

firm must use the CRD system for 

registration and disclosure. 

The proposed fee is reasonable 

because it is identical to the fee adopted 

by FINRA for use of the CRD system for 

disclosure and the registration of 

associated persons of FINRA 

members.10 Thus, the Exchange Rule 

15.1(e) will reflect the current 

registration rate that will be assessed by 

FINRA as of January 3, 2022 for any 

Members that are not also FINRA 

members. The Exchange also believes 

the proposed fee change is reasonable, 

because, as noted in the FINRA Fee 

Filing, FINRA is increasing the CRD 

system fees to provide enough revenue 

to support its regulatory mission.11

Notably, FINRA has not increased CRD 

system fees since 2012.12

The Exchange believes that its 

proposal to increase the $100 fee for 

each initial Form U4 filed for the 

registration of a representative or 

principal to $125 is equitable and not 

unfairly discriminatory because the 

equivalent fees will be charged by 

FINRA of all users of the CRD system, 

whether or not they are FINRA 

members. Therefore, all users of the 

CRD system will equally bear the cost of 

maintaining the system.13

FINRA further noted its belief that the 

proposed fees are reasonable because 

they help to ensure the integrity of the 

information in the CRD system, which 

is important because the Commission, 

FINRA, other self-regulatory 

organizations and state securities 

regulators use the CRD system to make 

licensing and registration decisions, 

among other things.14

B. Self-Regulatory Organization’s 

Statement on Burden on Competition 

The Exchange does not believe that 

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. Specifically, 

the Exchange believes that the proposed 

fees will result in the same regulatory 

fees being charged to all Members 

required to report information to the 

CRD system and for services performed 

by FINRA, regardless of whether or not 

such Members are FINRA members. 

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 foregoing rule change has become 

effective pursuant to Section 

19(b)(3)(A)(ii) of the Act 15 and Rule 

19b–4(f)(2) 16 thereunder. 

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 

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 (http://www.sec.gov/ 

rules/sro.shtml); or 

• Send an email to rule-comments@

sec.gov. Please include File Number SR– 

MEMX–2021–20 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–MEMX–2021–20. 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 (http://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; 

the Commission does not edit personal 

identifying information from 

submissions. You should submit only 


jspears on DSK121TN23PROD with NOTICES1
2960 Federal Register / Vol. 87, No. 12 / Wednesday, January 19, 2022 / Notices 

17 17 CFR 200.30–3(a)(12). 

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

2 17 CFR 240.19b–4. 

3See Fee Schedule, Section 2)c). 

4See Securities Exchange Act Release No. 90176 

(October 14, 2020), 85 FR 66592 (October 20, 2020) 

(SR–FINRA–2020–032) (Notice of Filing and 

Immediate Effectiveness of a Proposed Rule Change 

to Adjust FINRA Fees to Provide Sustainable 

Funding for FINRA’s Regulatory Mission). 

5 Id. 

6 ‘‘Electronic Exchange Member’’ means the 

holder of a Trading Permit who is not a Market 

Maker. Electronic Exchange Members are deemed 

‘‘members’’ under the Exchange Act. See Exchange 

Rule 100. 

7 ‘‘Market Makers’’ means ‘‘Lead Market Maker,’’ 

‘‘Primary Lead Market Maker’’ and ‘‘Registered 

Market Maker’’ collectively. See Exchange Rule 100. 

8See Securities Exchange Act Release No. 85393 

(March 21, 2019), 84 FR 11599 (March 27, 2019) 

(SR–EMERALD–2019–15). 

9See id. 

10 Id. 

11 Id. 

12 Id. FINRA operates Web CRD, the central 

licensing and registration system for the U.S. 

securities industry. FINRA uses Web CRD to 

maintain the qualification, employment and 

disciplinary histories of registered associated 

persons of broker-dealers. FINRA noted in its rule 

change that it was adjusting its fees to provide 

sustainable funding for FINRA’s regulatory mission. 

13 15 U.S.C. 78f(b). 

14 15 U.S.C. 78f(b)(5). 

15 Id. 

information that you wish to make 

available publicly. All submissions 

should refer to File Number SR–MEMX– 

2021–20 and should be submitted on or 

before February 9, 2022. 

For the Commission, by the Division of 

Trading and Markets, pursuant to delegated 

authority.17

J. Matthew DeLesDernier, 

Deputy Secretary. 

[FR Doc. 2022–00870 Filed 1–18–22; 8:45 am] 

BILLING CODE 8011–01–P 

SECURITIES AND EXCHANGE 

COMMISSION 

[Release No. 34–93968; File No. SR– 

EMERALD–2021–46] 

Self-Regulatory Organizations; MIAX 

Emerald, LLC; Notice of Filing and 

Immediate Effectiveness of a Proposed 

Rule Change To Amend the 

Exchange’s Fee Schedule 

January 12, 2022. 

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 December 29, 2021, MIAX Emerald, 

LLC (‘‘MIAX Emerald’’ or ‘‘Exchange’’), 

filed with the Securities and Exchange 

Commission (‘‘Commission’’) a 

proposed rule change as described in 

Items I, II, and III 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 is filing a proposal to 

amend the MIAX Emerald Fee Schedule 

(the ‘‘Fee Schedule’’) to reflect 

adjustments to the Financial Industry 

Regulatory Authority (‘‘FINRA’’) 

Registration Fees.3

While the changes proposed herein 

are effective upon filing, the Exchange 

has designated the amendments to 

become operative on January 2, 2022.4

The text of the proposed rule change 

is available on the Exchange’s website at 

http://www.miaxoptions.com/rulefilings/emerald, at MIAX’s 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 

Section 2)c) of the Fee Schedule, Web 

CRD Fees, to reflect adjustments to the 

FINRA Registration Fees.5 The FINRA 

fees are collected and retained by 

FINRA via Web Central Registration 

Depository (‘‘CRD’’) for the registration 

of associated persons of MIAX Emerald 

Electronic Exchange Member 6 and 

Market Maker 7 organizations that are 

not also FINRA members (‘‘Non-FINRA 

members’’).8 The Exchange merely lists 

these fees in its Fee Schedule. The 

Exchange does not collect or retain 

these fees. 

Since March 1, 2019, FINRA has 

assessed, and the Exchange has listed in 

its Fee Schedule, a $100 fee for the 

FINRA CRD processing fee.9 This fee is 

for all initial, transfer, relicense, and 

dual registration Form U4 filings.10 This 

fee is assessed when a non-FINRA firm 

(i.e., a firm that is not a member of 

FINRA) submits its first initial, transfer, 

relicense, or dual registration Form U4 

filing on behalf of a registered person.11

The Exchange now proposes to 

amend, under the General Registration 

Fees in Section 2)c) of the Fee Schedule, 

the FINRA CRD Processing Fee from 

$100 to $125 for each initial Form U4 

filed for the registration of a 

representative or principal. This 

amendment is made in accordance with 

a recent FINRA rule change to adjust its 

fees.12

The FINRA fees are collected and 

retained by FINRA via Web CRD for the 

registration of employees of the 

Exchange who are Non-FINRA 

members. The FINRA Web CRD Fees are 

user-based, and there is no distinction 

in the cost incurred by FINRA if the 

user is a FINRA member or a NonFINRA member. Accordingly, the 

proposed fees mirror those currently 

assessed by FINRA. The Exchange 

merely lists these fees in its Fee 

Schedule. The Exchange does not 

collect or retain these fees. 

Implementation 

The proposed rule change will 

become operative on January 2, 2022. 

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.13 Specifically, 

the Exchange believes the proposed rule 

change is consistent with the Section 

6(b)(5) 14 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 

system, and, in general, to protect 

investors and the public interest. 

Additionally, the Exchange believes the 

proposed rule change is consistent with 

the Section 6(b)(5) 15 requirement that 

the rules of an exchange not be designed 

to permit unfair discrimination between 

customers, issuers, brokers, or dealers. 

The Exchange believes it is reasonable 

to increase the $100 fee for each initial 

Form U4 filed for the registration of a 

representative or principal to $125 in 

accordance with an adjustment to 


jspears on DSK121TN23PROD with NOTICES1