Federal Register / Vol. 89, No. 248 / Friday, December 27, 2024 / Notices 105669 

30 15 U.S.C. 78s(b)(3)(A). 

31 17 CFR 240.19b–4(f). 

32 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. 

4A ‘‘FLEX Equity Option’’ is an option on a 

specified underlying equity security that is subject 

to the rules of Section 15. See Rule 900G(b)(10). 

5On January 11, 2024, GBTC began trading on 

NYSE Arca after the Commission approved rule 

changes to list and trade shares of ‘‘Bitcoin-Based 

Commodity-Based Trust Shares’’ pursuant to NYSE 

Arca Rule 8.201–E(c)(1) (Commodity-Based Trust 

Shares), including GBTC. See Securities Exchange 

Act Release No. 99306 (January 10, 2024) (Order 

Granting Accelerated Approval of Proposed Rule 

Changes, as Modified by Amendments Thereto, to 

List and Trade Bitcoin-Based Commodity-Based 

Trust Shares and Trust Units), 89 FR 3008 (January 

17, 2024) (SR–NYSEARCA–2021–90). 

6See Securities Exchange Act Release No. 101386 

(October 18, 2024), 89 FR 84960 (October 24, 2024) 

(SR–NYSEAMER–2024–49) (Order approving the 

listing and trading of options on GBTC, among 

Continued 

competition, as the proposed incentive 

program applies uniformly to all 

Uncontrolled External Distributors. 

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) 

of the Act 30 and paragraph (f) of Rule 

19b–4 31 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 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 rule-comments@

sec.gov. Please include file number SR– 

CboeBZX–2024–125 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–2024–125. 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–2024–125 and should be 

submitted on or before January 17, 2025. 

For the Commission, by the Division of 

Trading and Markets, pursuant to delegated 

authority.32

Vanessa A. Countryman, 

Secretary. 

[FR Doc. 2024–30905 Filed 12–26–24; 8:45 am] 

BILLING CODE 8011–01–P 

SECURITIES AND EXCHANGE 

COMMISSION 

[Release No. 34–102014; File No. SR– 

NYSEAMER–2024–78] 

Self-Regulatory Organizations; NYSE 

American LLC; Notice of Filing of 

Proposed Change To Amend Certain 

Rules Related to Flexible Exchange 

Options 

December 20, 2024. 

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

Securities Exchange Act of 1934 

(‘‘Act’’) 2 and Rule 19b–4 thereunder,3

notice is hereby given that, on December 

13, 2024, NYSE American LLC 

(‘‘Exchange’’) 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 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 amend 

certain rules related to Flexible 

Exchange (‘‘FLEX’’) Options to permit 

FLEX Options on the Grayscale Bitcoin 

Trust (BTC) (‘‘GBTC’’). The proposed 

rule change is available on the 

Exchange’s website at www.nyse.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 

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 those 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 the 

Statutory Basis for, the Proposed Rule 

Change 

1. Purpose 

FLEX Options are customized equity 

or index contracts that allow investors 

to tailor contract terms for exchangelisted equity and index options.4

GBTC is an Exchange-Traded Fund 

(or ETF) that holds bitcoin and is listed 

on NYSE Arca, Inc., the Exchange’s 

affiliated equities exchange.5 Recently, 

the Commission approved options 

trading on GBTC and, on November 22, 

2024, the Exchange began trading GBTC 

options.6 The position and exercise 


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other funds that hold bitcoin, pursuant to Rule 915, 

Commentary .10(a) (the ‘‘GBTC Options Approval 

Order’’). See also Trader Update, November 21, 

2024 (announcing that on November 22, 2024, the 

Exchange would begin listing and trading options 

on GBTC, among other funds that hold bitcoin), 

available here, https://www.nyse.com/traderupdate/history#110000945911. 

7See Rule 904, Commentary .07(f). The Exchange 

notes that this 25,000-contract exercise and position 

limit applies to all options on ETFs the hold 

bitcoin. See id. 

8See Rule 903G(a)(1) (excluding GBTC from the 

general principle that the Exchange may approve 

and open for trading any FLEX Equity Options 

series on any equity security that is eligible for NonFLEX Options trading, ‘‘except those set forth in 

Commentary .10(a) to Rule 915’’, which includes 

GBTC). 

9See Rule 906G(b) (subject to the exceptions 

enumerated in the rule ‘‘there shall be no position 

limits for FLEX Equity options.’’) 

10See proposed Rules 903G(a)(1) (excepting 

GBTC from the prohibition of FLEX trading) and 

906G(b)(iv) (providing that position limits for FLEX 

GBTC ‘‘will be the same as Non-FLEX Options on 

GBTC, as set forth in Rule 906G, Commentary .07(f), 

except that positions in FLEX GBTC shall be 

aggregated with positions in Non-FLEX GBTC for 

the purpose of calculating position limits.’’). The 

Exchange notes there is precedent for aggregating 

position limits of FLEX options with non-FLEX 

options for purposes of calculating position limits. 

See Rule 906G(b)(iii) (proving that ‘‘FLEX ByRDs 

[Binary Return Derivatives] shall be the same as 

Non-FLEX ByRDs, as set forth in Rule 904ByRDs(a), 

except that positions in FLEX ByRDs shall be 

aggregated with positions in Non-FLEX ByRDs on 

the same or similar underlying (‘comparable NonFLEX ByRDs’) for the purpose of calculating 

position limits.’’). 

11See supra note 6, GBTC Options Approval 

Order, 89 FR 84971. 

12See id. 

13See id. (noting that the Commission considered 

and reviewed the Exchange’s analysis that, based on 

the number of GBTC shares outstanding as of 

August 30th, ‘‘if 114 market participants had 25,000 

same side positions in options on GBTC, each of 

them would have to simultaneously exercise all of 

those options to create a scenario that may put the 

underlying security under stress.’’). 

14The Exchange may file a subsequent rule 

change to increase the position and exercise limit 

for options on GBTC based on additional data 

regarding trading activity, to continue to balance 

any concerns regarding manipulation. A higher 

position limit would allow institutional investors to 

utilize GBTC options for prudent risk management 

purposes. In this regard, the Exchange would 

address the impact of higher position (and exercise) 

limits on the proposed FLEX GBTC options. 

15Per Commentary .07(a) to Rule 904, to qualify 

for the 250,000-contract position limit for options, 

the underlying security must (i) have trading 

volume of at least 100,000,000 shares during the 

most recent six-month trading period; or (ii) have 

trading volume of at least 75,000,000 shares during 

the most recent six-month trading period and have 

at least 300,000,000 shares currently outstanding. 

16See https://www.theocc.com/Market-Data/ 

Market-Data-Reports/Series-and-Trading-Data/ 

Series-Search (including the following symbols that 

have a position limit of 250,000: GLD, IAU, SLV, 

SIVR, SGOL). 

limits established for GBTC options is 

25,000 contracts, the lowest limit 

available in options.7 Additionally, 

GBTC options are currently not 

approved for FLEX trading.8 Except for 

a few enumerated exceptions, FLEX 

Options are not subject to position 

limits.9 The Exchange proposes to 

permit FLEX Equity Options on GBTC 

(‘‘FLEX GBTC’’) and to impose position 

limits on FLEX GBTC. As proposed, 

FLEX GBTC options would have the 

same 25,000-contract position limit as 

Non-FLEX Options on GBTC, and 

positions in FLEX GBTC will be 

aggregated with positions in Non-FLEX 

GBTC. In other words, the position limit 

for options on GBTC—both FLEX GBTX 

and non-FLEX GBTC—will be 25,000 

contracts.10

Per the Commission ‘‘rules regarding 

position and exercise limits are 

intended to prevent the establishment of 

options positions that can be used or 

might create incentives to manipulate or 

disrupt the underlying market so as to 

benefit the options positions.’’ 11 For 

this reason, the Commission requires 

that ‘‘position and exercise limits must 

be sufficient to prevent investors from 

disrupting the market for the underlying 

security by acquiring and exercising a 

number of options contracts 

disproportionate to the deliverable 

supply and average trading volume of 

the underlying security.’’ 12 Based on its 

review of the data and analysis provided 

by the Exchange, the Commission 

concluded that the 25,000-contract 

position limit for non-FLEX GBTC 

options satisfied these objectives.13

As proposed, the Exchange will 

aggregate position (and exercise) limits 

for all GBTC options, thus limiting 

positions for options on all GBTC 

options—FLEX and non-FLEX—to 

25,000 contracts. This proposed 

aggregated limit effectively restricts a 

market participant from holding 

positions that could result in the receipt 

of more than 2,500,000 shares, 

aggregated for FLEX GBTC and nonFLEX GBTC (if that market participant 

exercised all its GBTC options). The 

Exchange believes that capping the 

aggregated position limit at 25,000 

contracts, the lowest limit available in 

options, would be sufficient to address 

concerns related to manipulation and 

the protection of investors. The 

Exchange notes that this number is 

conservative for GBTC and therefore 

appropriate given its liquidity. 

While the Exchange proposes an 

aggregated 25,000-contract position 

limit for all GBTC options, it 

nonetheless believes that, for the 

reasons set forth below, evidence exists 

to support a much higher position 

limit.14 For example, GBTC currently 

qualifies for the 250,000-contract 

position limit available to other ETFs 

pursuant to the criteria in Rule 904, 

Commentary .07(a)(i), which requires 

that, for the most recent six-month 

period, trading volume for the 

underlying security be at least 

100,000,000 shares.15 As of September 

30, 2024, GBTC had traded 723,758,100 

shares during the six-month period from 

March 30, 2024 to September 30, 2024, 

well above the requisite minimum of 

100,000,000 shares necessary to qualify 

for the 250,000-contract position limit. 

By comparison, other options symbols 

with six-month trading volume less than 

GBTC are currently eligible and do in 

fact have position and exercise limits of 

at least 250,000 contracts.16

Further, the Exchange believes that 

the share creation and redemption 

process unique to ETFs would mitigate 

any potential risk of manipulation in 

FLEX trading in GBTC options. The 

creation and redemption process is 

designed to ensure that an ETF’s price 

closely tracks the value of its underlying 

asset(s). For example, if a market 

participant exercised a long call 

position for 25,000 contracts and 

purchased 2,500,000 shares of GBTC 

and this purchase resulted in the value 

of GBTC shares to trade at a premium 

to the value of the (underlying) bitcoin 

held by GBTC, the Exchange believes 

that other market participants would 

attempt to arbitrage this price difference 

by selling short GBTC shares while 

concurrently purchasing bitcoin. Those 

market participants (arbitrageurs) would 

then deliver cash to GBTC and receive 

shares of GBTC, which would be used 

to close out any previously established 

short position in GBTC. Thus, this 

creation and redemptions process 

would significantly reduce the potential 

risk of price dislocation between the 

value of GBTC shares and the value of 

bitcoin holdings. 

The Exchange understands that FLEX 

Options on ETFs are currently traded in 

the over-the-counter (‘‘OTC’’) market by 

a variety of market participants, e.g., 

hedge funds, proprietary trading firms, 

and pension funds, to name a few. The 

Exchange believes there is room for 

significant growth if a comparable 

product were introduced for trading on 

a regulated market. The Exchange 

expects that users of these OTC 

products would be among the primary 

users of FLEX GBTC options. The 

Exchange also believes that the trading 

of FLEX GBTC options would allow 

these same market participants to better 

manage the risk associated with the 

volatility of GBTC (the underlying ETF) 

positions given the enhanced liquidity 

that an exchange-traded product would 

bring. 

Additionally, the Exchange believes 

that FLEX GBTC options traded on the 

Exchange would have three important 


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17See supra note 6, GBTC Options Approval 

Order, 89 FR at 84966–68 (regarding surveillance 

procedures applicable to GBTC and other funds that 

hold bitcoin). 

18Section 19(g)(1) of the Act, among other things, 

requires every SRO registered as a national 

securities exchange or national securities 

association to comply with the Act, the rules and 

regulations thereunder, and the SRO’s own rules, 

and, absent reasonable justification or excuse, 

enforce compliance by its members and persons 

associated with its members. See 15 U.S.C. 

78q(d)(1) and 17 CFR 240.17d–2. Section 17(d)(1) 

of the Act allows the Commission to relieve an SRO 

of certain responsibilities with respect to members 

of the SRO who are also members of another SRO. 

Specifically, Section 17(d)(1) allows the 

Commission to relieve an SRO of its responsibilities 

to: (i) receive regulatory reports from such 

members; (ii) examine such members for 

compliance with the Act and the rules and 

regulations thereunder, and the rules of the SRO; 

or (iii) carry out other specified regulatory 

responsibilities with respect to such members. 

19 15 U.S.C. 78f(b). 

20 15 U.S.C. 78f(b)(5). 

advantages over the contracts that are 

traded in the OTC market. First, as a 

result of greater standardization of 

contract terms, exchange-traded 

contracts should develop more 

liquidity. Second, counter-party credit 

risk would be mitigated by the fact that 

the contracts are issued and guaranteed 

by The Options Clearing Corporation 

(‘‘OCC’’). Finally, the price discovery 

and dissemination provided by the 

Exchange and its members would lead 

to more transparent markets. The 

Exchange believes that its ability to offer 

FLEX GBTC options would aid it in 

competing with the OTC market and at 

the same time expand the universe of 

products available to interested market 

participants. The Exchange believes that 

an exchange-traded alternative may 

provide a useful risk management and 

trading vehicle for market participants 

and their customers. 

The Exchange has analyzed its 

capacity and represents that it and The 

Options Price Reporting Authority 

(‘‘OPRA’’) have the necessary systems 

capacity to handle the additional traffic 

associated with the listing of FLEX 

GBTC options. The Exchange believes 

any additional traffic that would be 

generated from the trading of FLEX 

GBTC options would be manageable. 

The Exchange believes ATP Holders 

will not have a capacity issue as a result 

of this proposed rule change. The 

Exchange also represents that it does not 

believe this proposed rule change will 

cause fragmentation of liquidity. The 

Exchange will monitor the trading 

volume associated with the additional 

options series listed as a result of this 

proposed rule change and the effect (if 

any) of these additional series on market 

fragmentation and on the capacity of the 

Exchange’s automated systems. 

The Exchange represents that the 

same surveillance procedures applicable 

to the Exchange’s other options 

products listed and traded on the 

Exchange, including non-FLEX GBTC 

options, will apply to FLEX GBTC 

options, and that it has the necessary 

systems capacity to support such 

options. FLEX options products (and 

their respective symbols) are integrated 

into the Exchange’s existing 

surveillance system architecture and are 

thus subject to the relevant surveillance 

processes. The Exchange’s market 

surveillance staff (including staff of the 

Financial Industry Regulatory Authority 

(‘‘FINRA’’) who perform surveillance 

and investigative work on behalf of the 

Exchange pursuant a regulatory services 

agreement) conducts surveillances with 

respect to GBTC (the underlying ETF) 

and, as appropriate, would review 

activity in GBTC when conducting 

surveillances for market abuse or 

manipulation in the FLEX GBTC 

options.17 The Exchange does not 

believe that allowing FLEX GBTC 

options would render the marketplace 

for non-FLEX GBTC options, or equity 

options in general, more susceptible to 

manipulative practices. 

The Exchange represents that its 

existing trading surveillances are 

adequate to monitor the trading in 

GBTC and subsequent trading of FLEX 

GBTC options on the Exchange. 

Additionally, the Exchange is a member 

of the Intermarket Surveillance Group 

(‘‘ISG’’) under the Intermarket 

Surveillance Group Agreement. ISG 

members work together to coordinate 

surveillance and investigative 

information sharing in the stock, 

options, and futures markets. For 

surveillance purposes, the Exchange 

would therefore have access to 

information regarding trading activity in 

the pertinent underlying securities. In 

addition, and as referenced above, the 

Exchange has a regulatory services 

agreement with FINRA, pursuant to 

which FINRA conducts certain 

surveillances on behalf of the Exchange. 

Further, pursuant to a multi-party 17d– 

2 joint plan, all options exchanges 

allocate regulatory responsibilities to 

FINRA to conduct certain optionsrelated market surveillances.18 The 

Exchange will implement any 

additional surveillance procedures it 

deems necessary to effectively monitor 

the trading of GBTC options. 

The proposed rule change is designed 

to allow investors seeking to trade 

options on GBTC to utilize FLEX GBTC 

options. The Exchange believes that 

offering innovative products flows to 

the benefit of the investing public. A 

robust and competitive market requires 

that exchanges respond to member’s 

evolving needs by constantly improving 

their offerings. Such efforts would be 

stymied if exchanges were prohibited 

from offering innovative products such 

as the proposed FLEX GBTC options. 

The Exchange believes that introducing 

FLEX GBTC options would further 

broaden the base of investors that use 

FLEX Options (and options on GBTC in 

general) to manage their trading and 

investment risk, including investors that 

currently trade in the OTC market for 

customized options. The proposed rule 

change is also designed to encourage 

market makers to shift liquidity from the 

OTC market on the Exchange, which, it 

believes, will enhance the process of 

price discovery conducted on the 

Exchange through increased order flow. 

Finally, as discussed herein, the 

Exchange does not believe that this 

proposed rule change raises any unique 

regulatory concerns because the 

proposal to aggregate FLEX and nonFLEX GBTC options at the (most 

conservative) 25,000-contract limit, 

which currently applies solely to nonFLEX GBTC options, should provide an 

adequate safeguard. 

Implementation 

The Exchange will announce the 

implementation date by Trader Update 

within sixty (60) days of the rule 

approval. 

2. Statutory Basis 

The Exchange believes that its 

proposal is consistent with Section 6(b) 

of the Securities Exchange Act of 1934 

(the ‘‘Act’’),19 in general, and furthers 

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

Act,20 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. Specifically, the 

Exchange believes that introducing 

FLEX GBTC options will increase order 

flow to the Exchange, increase the 

variety of options products available for 

trading, and provide a valuable tool for 

investors to manage risk. The proposed 

rule change is designed to allow 

investors seeking to trade options on 

GBTC to utilize FLEX GBTC options. 

The Exchange believes that the 

proposal to permit FLEX GBTC options 

would remove impediments to and 

perfect the mechanism of a free and 

open market. The Exchange believes 

that offering FLEX GBTC options will 

benefit investors by providing them 


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21See supra note 6, GBTC Options Approval 

Order, 89 FR at 84966–68 (regarding surveillance 

procedures applicable to GBTC and other funds that 

hold bitcoin). 

with an additional, relatively lower cost 

investing tool to gain exposure to the 

price of bitcoin and provide a hedging 

vehicle to meet their investment needs 

in connection with a bitcoin-related 

product. Moreover, the proposal would 

broaden the base of investors that use 

FLEX Options to manage their trading 

and investment risk, including investors 

that currently trade in the OTC market 

for customized options. By trading a 

product in an exchange-traded 

environment (that is currently being 

used in the OTC market), the Exchange 

would be able to compete more 

effectively with the OTC market. The 

Exchange believes the proposed rule 

change is designed to prevent 

fraudulent and manipulative acts and 

practices in that it would lead to the 

migration of options currently trading in 

the OTC market to trading to the 

Exchange. Also, any migration to the 

Exchange from the OTC market would 

result in increased market transparency 

and enhance the process of price 

discovery conducted on the Exchange 

through increased order flow. The 

Exchange also believes that offering 

FLEX GBTC options may open up the 

market for options on GBTC to more 

retail investors. 

Additionally, the Exchange believes 

the proposed rule change is designed to 

remove impediments to and to perfect 

the mechanism for a free and open 

market and a national market system, 

and, in general, to protect investors and 

the public interest in that it should 

create greater trading and hedging 

opportunities and flexibility. The 

proposed rule change should also result 

in enhanced efficiency in initiating and 

closing out positions and heightened 

contra-party creditworthiness due to the 

role of OCC as issuer and guarantor of 

FLEX GBTC options. Further, the 

proposed rule change would result in 

increased competition by permitting the 

Exchange to offer products that are 

currently used in the OTC market. 

The Exchange does not believe that 

this proposed rule change raises any 

unique regulatory concerns because the 

proposal to aggregate FLEX and nonFLEX GBTC options at the (most 

conservative) 25,000-contract limit 

should provide an adequate safeguard. 

The purpose of position limits is to 

address potential manipulative schemes 

and adverse market impacts 

surrounding the use of options, such as 

disrupting the market in the security 

underlying the options. The Exchange 

believes the proposal will benefit 

investors and public interest because 

the aggregated position limit for all 

options on GBTC (FLEX and non-FLEX) 

at 25,000 contracts, the lowest limit 

available in options, would address 

concerns related to manipulation and 

protection of investors as this number is 

conservative for GBTC and therefore 

appropriate given its liquidity. 

The Exchange believes that offering 

innovative products flows to the benefit 

of the investing public. A robust and 

competitive market requires that 

exchanges respond to member’s 

evolving needs by constantly improving 

their offerings. Such efforts would be 

stymied if exchanges were prohibited 

from offering innovative products such 

as the proposed FLEX GBTC options. 

The Exchange does not believe that 

allowing FLEX GBTC options would 

render the marketplace for equity 

options more susceptible to 

manipulative practices. 

Finally, the Exchange represents that 

it has an adequate surveillance program 

in place to detect manipulative trading 

in FLEX GBTC options. Regarding the 

proposed FLEX GBTC options, the 

Exchange would use the same 

surveillance procedures currently 

utilized for FLEX Options listed on the 

Exchange (as well as for non-FLEX 

GBTC options). For surveillance 

purposes, the Exchange would have 

access to information regarding trading 

activity in GBTC (the underlying ETF).21

In light of surveillance measures related 

to both options and GBTC (the 

underlying ETF), the Exchange believes 

that existing surveillance procedures are 

designed to deter and detect possible 

manipulative behavior which might 

potentially arise from listing and trading 

the proposed FLEX GBTC options. 

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. 

Intra-market competition. The 

Exchange does not believe that its 

proposed rule change will impose any 

burden on intra-market competition as 

all market participants would have the 

option of utilizing the FLEX GBTC 

options. The proposed rule change is 

designed to allow investors seeking 

option exposure to bitcoin to trade 

FLEX GBTC options. Moreover, the 

Exchange believes that the proposal to 

permit FLEX GBTC options would 

broaden the base of investors that use 

FLEX Options to manage their trading 

and investment risk, including investors 

that currently trade in the OTC market 

for customized options. 

Inter-market competition. The 

Exchange does not believe that its 

proposed rule change will impose any 

burden on inter-market competition as 

all market participants would have the 

option of utilizing the FLEX GBTC 

options. The Exchange notes that it 

operates in a highly competitive market 

in which market participants can 

readily direct order flow to competing 

venues. The proposed rule change 

would support that intermarket 

competition by allowing the Exchange 

to offer additional functionality to ATP 

Holders. The Exchange believes that the 

proposed FLEX GBTC options will 

increase the variety of options products 

available for trading in general and 

bitcoin-related products in particular 

and, as such, will provide a valuable 

tool for investors to manage risk. 

As such, the Exchange believes that 

this proposal does not create an undue 

burden on intermarket competition. 

Rather, the Exchange believes that the 

proposed rule would bolster intermarket 

competition by promoting fair 

competition among individual markets. 

The Exchange notes that, upon approval 

of this proposal, competing options 

exchanges will be free to offer products 

like the proposed FLEX GBTC options. 

C. Self-Regulatory Organization’s 

Statement on Comments on the 

Proposed Rule Change Received From 

Members, Participants, or Others 

No written comments were solicited 

or received with respect to 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: 


khammond on DSK9W7S144PROD with NOTICES
Federal Register / Vol. 89, No. 248 / Friday, December 27, 2024 / Notices 105673 

22 17 CFR 200.30–3(a)(12). 

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– 

NYSEAMER–2024–78 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–NYSEAMER–2024–78. 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–NYSEAMER–2024–78 and should 

be submitted on or before January 17, 

2025. 

For the Commission, by the Division of 

Trading and Markets, pursuant to delegated 

authority.22

J. Matthew DeLesDernier, 

Deputy Secretary. 

[FR Doc. 2024–31090 Filed 12–26–24; 8:45 am] 

BILLING CODE 8011–01–P 

SECURITIES AND EXCHANGE 

COMMISSION 

[SEC File No. 270–789, OMB Control No. 

3235–0731] 

Proposed Collection; Comment 

Request; Extension for Generic ICR: 

Generic Clearance for the Collection of 

Qualitative Feedback on Agency 

Service Delivery 

Upon Written Request Copies Available 

From: Securities and Exchange 

Commission, Office of FOIA Services, 

100 F Street NE, Washington, DC 

20549–2736. 

Notice is hereby given that, pursuant 

to the Paperwork Reduction Act of 1995 

(44 U.S.C. 3501 et seq.), the Securities 

and Exchange Commission 

(‘‘Commission’’) is soliciting comments 

on the collection of information 

summarized below. The Commission 

plans to submit this existing collection 

of information to the Office of 

Management and Budget for extension 

and approval. 

The information collection activity 

will garner qualitative customer and 

stakeholder feedback in an efficient, 

timely manner, in accordance with the 

Commission’s commitment to 

improving service delivery. By 

qualitative feedback we mean 

information that provides useful 

insights on perceptions and opinions 

but are not statistical surveys that yield 

quantitative results that can be 

generalized to the population of study. 

This feedback will provide insights into 

customer or stakeholder perceptions, 

experiences and expectations, provide 

an early warning of issues with service, 

or focus attention on areas where 

communication, training or changes in 

operations might improve delivery of 

products or services. These collections 

will allow for ongoing, collaborative and 

actionable communications between the 

SEC and its customers and stakeholders. 

It will also allow feedback to contribute 

directly to the improvement of program 

management. 

Feedback collected under this generic 

clearance will provide useful 

information, but it will not yield data 

that can be generalized to the overall 

population. This type of generic 

clearance for qualitative information 

will not be used for quantitative 

information collections that are 

designed to yield reliably actionable 

results, such as monitoring trends over 

time or documenting program 

performance. Depending on the degree 

of influence the results are likely to 

have, such collections may still be 

eligible for submission for other generic 

mechanisms that are designed to yield 

quantitative results. 

Below is the projected average annual 

estimates each year for the next three 

years: 

Expected Annual Number of 

activities: 20. 

Respondents: 30,000. 

Annual responses: 30,000. 

Frequency of Response: Once per 

request. 

Average minutes per response: 10. 

Annual burden hours: 5,000. 

Written comments are invited on: (a) 

whether this proposed collection of 

information is necessary for the proper 

performance of the functions of the 

agency, including whether the 

information will have practical utility; 

(b) the accuracy of the agency’s estimate 

of the burden imposed by the collection 

of information; (c) ways to enhance the 

quality, utility, and clarity of the 

information collected; and (d) ways to 

minimize the burden of the collection of 

information on respondents, including 

through the use of automated collection 

techniques or other forms of information 

technology. Consideration will be given 

to comments and suggestions submitted 

in writing within 60 days of this 

publication by February 25, 2025. 

An agency may not conduct or 

sponsor, and a person is not required to 

respond to, a collection of information 

unless it displays a currently valid 

control number. 

Please direct your written comment to 

Austin Gerig, Director/Chief Data 

Officer, Securities and Exchange 

Commission, c/o Tanya Ruttenberg, 100 

F Street NE, Washington, DC 20549 or 

send an email to: PRA_Mailbox@

sec.gov. 

Dated: December 20, 2024. 

J. Matthew DeLesDernier, 

Deputy Secretary. 

[FR Doc. 2024–30986 Filed 12–26–24; 8:45 am] 

BILLING CODE 8011–01–P 

SMALL BUSINESS ADMINISTRATION 

[Disaster Declaration #20720 and #20721; 

NORTH CAROLINA Disaster Number NC– 

20009] 

Presidential Declaration Amendment of 

a Major Disaster for Public Assistance 

Only for the State of North Carolina 

AGENCY: U.S. Small Business 

Administration. 

ACTION: Amendment 2. 

SUMMARY: This is an amendment of the 

Presidential declaration of a major 

disaster for Public Assistance Only for 

the State of North Carolina (FEMA– 

4827–DR), dated October 2, 2024. 


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