Federal Register / Vol. 83, No. 3 / Thursday, January 4, 2018 / Notices 577 

51 17 CFR 200.30–3(a)(12). 

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

2 17 CFR 240.19b–4. 

broker-dealer firms and from thirdparties, which may provide prices free 

with a time delay, or ‘‘live’’ with a paid 

fee. Major broker-dealer firms will also 

provide intraday quotes on swaps of the 

type held by the Fund. For Bitcoin 

Futures Contracts, such intraday 

information is available directly from 

the applicable listing exchange. Intraday 

price information is also available 

through subscription services, such as 

Bloomberg and Thomson Reuters, 

which can be accessed by authorized 

participants and other investors. Pricing 

information related to money market 

fund shares will be available through 

issuer websites and publicly available 

quotation services such as Bloomberg, 

Markit and Thomson Reuters. Money 

market fund shares are not generally 

priced or quoted on an intraday basis. 

The proposed rule change is designed 

to perfect the mechanism of a free and 

open market and, in general, to protect 

investors and the public interest in that 

it will facilitate the listing and trading 

of additional types of actively-managed 

exchange-traded products that will 

enhance competition among market 

participants, to the benefit of investors 

and the marketplace. As noted above, 

the Exchange has in place surveillance 

procedures relating to trading in the 

Shares and may obtain information via 

ISG from other exchanges that are 

members of ISG or with which the 

Exchange has entered into a 

comprehensive surveillance sharing 

agreement as well as trade information 

for certain fixed income instruments as 

reported to FINRA’s TRACE. At least 

90% of the weight of the Bitcoin 

Derivatives held by the Funds will trade 

on markets that are a member of ISG or 

affiliated with a member of ISG or with 

which the Exchange has in place a 

comprehensive surveillance sharing 

agreement. In addition, as noted above, 

investors will have ready access to 

information regarding the Fund’s 

holdings, the Intraday Indicative Value, 

the Disclosed Portfolio, and quotation 

and last sale information for the Shares. 

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 additional actively-managed 

exchange-traded products 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 has neither solicited 

nor received written 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 self-regulatory organization 

consents, the Commission will: 

A. by order approve or disapprove the 

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 (http://www.sec.gov/ 

rules/sro.shtml); or 

• Send an email to rule-comments@

sec.gov. Please include File Number SR– 

CboeBZX–2017–013 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–2017–013. 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–CboeBZX–2017–013 and 

should be submitted on or before 

January 25, 2018. 

For the Commission, by the Division of 

Trading and Markets, pursuant to delegated 

authority.51

Robert W. Errett, 

Deputy Secretary. 

[FR Doc. 2017–28439 Filed 1–3–18; 8:45 am] 

BILLING CODE 8011–01–P 

SECURITIES AND EXCHANGE 

COMMISSION 

[Release No. 34–82414; File No. SR–BOX– 

2017–38] 

Self-Regulatory Organizations; BOX 

Options Exchange LLC; Notice of 

Filing and Immediate Effectiveness of 

a Proposed Rule Change To Amend 

Rule 5050 To Extend the Pilot Program 

That Lists RealDay Options (‘‘RealDay 

Pilot Program’’) 

December 28, 2017. 

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 

21, 2017, BOX Options Exchange LLC 

(the ‘‘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. 


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578 Federal Register / Vol. 83, No. 3 / Thursday, January 4, 2018 / Notices 

3See Securities Exchange Act Release No. 79936 

(February 2, 2017), 82 FR 9886 (February 8, 2017) 

(Order Granting Approval of a Proposed Rule 

Change To Amend Rule 5050 Series of Options 

Contracts Open for Trading To Provide for the 

Listing and Trading on the Exchange of RealDay). 4 15 U.S.C. 78f(b). 

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

6 17 CFR 240.19b–4(f)(6). As required under Rule 

19b–4(f)(6)(iii), the Exchange provided the 

Commission with written notice of its intent to file 

the proposed rule change, along with a brief 

I. Self-Regulatory Organization’s 

Statement of the Terms of the Substance 

of the Proposed Rule Change 

The Exchange proposes to amend 

Rule 5050 to extend the pilot program 

that lists RealDay Options (‘‘RealDay 

Pilot Program’’). The text of the 

proposed rule change is available from 

the principal office of the Exchange, at 

the Commission’s Public Reference 

Room and also on the Exchange’s 

internet website at http://

boxoptions.com. 

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 

self-regulatory organization 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 self-regulatory organization 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 5050(f) to extend the time period 

of the RealDay Pilot Program,3 which is 

currently scheduled to expire on 

February 2, 2018, through February 2, 

2019. 

This filing does not propose any 

substantive changes to the RealDay Pilot 

Program. In the original proposal to 

establish the RealDay Pilot Program, the 

Exchange stated that if it were to 

propose an extension, permanent 

approval or termination of the program, 

the Exchange would submit, along with 

any filing proposing such amendments 

to the program, a report containing an 

analysis of volume, open interest, and 

trading patterns in RealDay Options. In 

addition, the Exchange stated that pilot 

report would provide analysis of price 

volatility and trading activity in 

additional option series. 

Because the industry has not finished 

developing the technology for clearing 

and settlement of RealDay Options and 

BOX has not launched this product, 

there is no meaningful data available to 

compile the Pilot Report at this time and 

therefore the Exchange did not file a 

Pilot Report prior to this extension 

request. The Exchange believes it is 

appropriate to extend the RealDay Pilot 

Program to provide time for the industry 

to develop and implement the requisite 

technology so that the Exchange can 

prepare a meaningful Pilot Report if it 

were to propose any further extension, 

permanent approval or termination of 

the program. 

As with the original proposal to 

establish the RealDay Pilot Program, the 

Exchange represents that the Pilot 

Report will be submitted within two (2) 

months of the end of the extended pilot 

period. The Pilot Report will contain the 

following volume and open interest data 

for RealDay Options: 

(1) Daily contract trading volume 

aggregated for all trades, for all option 

series with less than 31 days until 

expiration; 

(2) daily contract trading volume 

aggregated by expiration date, for all 

option series with less than 31 days 

until expiration; 

(3) daily contract trading volume for 

each individual series; 

(4) daily open interest aggregated for 

all series, for all option series with less 

than 31 days until expiration; 

(5) daily open interest aggregated for 

all series by expiration date, for all 

option series with less than 31 days 

until expiration; 

(6) daily open interest for each 

individual series; 

(7) statistics on the distribution of 

trade sizes; 

(8) type of market participant trading 

(e.g., contract trading volume for each 

market participant type); and 

(9) 5-minute returns, level changes, 

and trading volume for the S&P 500 

Index, VIX, SPY, IVV, and expiring 

RealDay options between open and 

close for the first and second 

Wednesday of the month that is a 

trading day and trading days when 

standard SPY options expire. 

In addition to the pilot report, the 

Exchange would periodically provide 

the Commission with interim reports of 

the information listed in items (1) 

through (9) above as required by the 

Commission while the pilot is in effect. 

These interim reports would also be 

provided on a confidential basis. 

2. Statutory Basis 

The Exchange believes that the 

proposal is consistent with the 

requirements of Section 6(b) of the Act,4

in general, and Section 6(b)(5) of the 

Act,5 in particular, in that it is designed 

to prevent fraudulent and manipulative 

acts and practices, 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. The Exchange believes 

that extending the RealDay Pilot 

Program promotes just and equitable 

principles of trade by permitting market 

participants, including market makers, 

institutional investors and retail 

investors, to introduce new and 

innovative products to the marketplace. 

Further, the Exchange believes that 

extending the RealDay Pilot Program 

will allow the industry to fully develop 

and implement the requisite technology 

for RealDay Options which will allow 

the Exchange to launch the Program in 

order to gather the requisite data for the 

above mentioned pilot report. 

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 

proposed rule change is not designed to 

address any aspect of competition, 

whether between the Exchange and its 

competitors, or among market 

participants. Instead, the proposed rule 

change is designed to allow the RealDay 

Pilot Program to continue while the 

industry develops the technology 

needed for RealDay Options. 

C. Self-Regulatory Organization’s 

Statement on Comments on the 

Proposed Rule Change Received From 

Members, Participants, or Others 

The Exchange has neither solicited 

nor received comments on the proposed 

rule change. 

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 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 and Rule 19b– 

4(f)(6) thereunder.6


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Federal Register / Vol. 83, No. 3 / Thursday, January 4, 2018 / Notices 579 

description and the 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. 

7 17 CFR 200.30–3(a)(12). 

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

2 17 CFR 240.19b–4. 

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

4 17 CFR 240.19b–4(f)(2). 

5A ‘‘Distributor’’ is defined as ‘‘any entity that 

receives the Exchange Market Data product directly 

from the Exchange or indirectly through another 

entity and then distributes it internally or externally 

to a third party.’’ See the Exchange’s fee schedule 

available at http://markets.cboe.com/us/equities/ 

membership/fee_schedule/edga/. An ‘‘Internal 

Distributor’’ is defined as ‘‘a Distributor that 

receives the Exchange Market Data product and 

then distributes that data to one or more Users 

within the Distributor’s own entity.’’ Id. 

6A ‘‘Professional User’’ is defined as ‘‘any User 

other than a Non-Professional User.’’ See the 

Exchange’s fee schedule available at http://

markets.cboe.com/us/equities/membership/fee_

schedule/edga/. 7A ‘‘Non-Professional User’’ is currently defined 

as ‘‘a natural person who is not: (i) Registered or 

qualified in any capacity with the Commission, the 

Commodity Futures Trading Commission, any state 

securities agency, any securities exchange or 

association, or any commodities or futures contract 

market or association; (ii) engaged as an 

‘‘investment adviser’’ as that term is defined in 

Section 202(a)(11) of the Investment Advisers Act 

of 1940 (whether or not registered or qualified 

under that Act); or (iii) employed by a bank or other 

organization exempt from registration under federal 

or state securities laws to perform functions that 

would require registration or qualification if such 

functions were performed for an organization not so 

exempt.’’ Id. See SR–CboeEDGA–2017–003 (filed 

December 15, 2017) (amending the definition of 

Non-Professional User to harmonize it with that of 

its affiliate exchanges, Cboe Exchange, Inc. and C2 

Exchange, Inc. as of January 2, 2018). 

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– 

BOX–2017–38 on the subject line. 

Paper Comments 

• Send paper comments in triplicate 

to Brent J. Fields, Secretary, Securities 

and Exchange Commission, 100 F Street 

NE, Washington, DC 20549–1090. 

All submissions should refer to File 

Number SR–BOX–2017–38. 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 (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 such 

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–BOX–2017–38, and should 

be submitted on or before January 25, 

2018. 

For the Commission, by the Division of 

Trading and Markets, pursuant to delegated 

authority.7

Robert W. Errett, 

Deputy Secretary. 

[FR Doc. 2017–28436 Filed 1–3–18; 8:45 am] 

BILLING CODE 8011–01–P 

SECURITIES AND EXCHANGE 

COMMISSION 

[Release No. 34–82423; File No. SR– 

CboeEDGA–2017–004] 

Self-Regulatory Organizations; Cboe 

EDGA Exchange, Inc.; Notice of Filing 

and Immediate Effectiveness of a 

Proposed Rule Change Related to 

Market Data Fees 

December 29, 2017. 

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 

15, 2017, Cboe EDGA Exchange, Inc. 

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

the Securities and Exchange 

Commission (‘‘Commission’’) the 

proposed rule change as described in 

Items I, II and III below, which Items 

have been prepared by the Exchange. 

The Exchange has designated the 

proposed rule change as one 

establishing or changing a member due, 

fee, or other charge imposed by the 

Exchange under Section 19(b)(3)(A)(ii) 

of the Act 3 and Rule 19b–4(f)(2) 

thereunder,4 which renders the 

proposed rule change effective upon 

filing with the Commission. 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 filed a proposal to 

amend the Market Data section of its fee 

schedule to lower the Internal 

Distribution 5 fees and to adopt per User 

fees for the Cboe One Summary Feed. 

The text of the proposed rule change 

is available at the Exchange’s website at 

www.markets.cboe.com, 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 

the most significant parts 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 the 

Market Data section of its fee schedule 

to lower the fee for Internal Distribution 

and to adopt separate fees for 

Professional 6 and Non-Professional 

Users 7 for the Cboe One Summary Feed. 

The Cboe One Feed is an optional 

data feed that disseminates, on a realVerDate Sep<11>2014 16:16 Jan 03, 2018 Jkt 244001 PO 00000 Frm 00081 Fmt 4703 Sfmt 4703 E:\FR\FM\04JAN1.SGM 04JAN1

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