46724 Federal Register / Vol. 86, No. 158 / Thursday, August 19, 2021 / Notices 

16For purposes only of waiving the 30-day 

operative delay, the Commission also has 

considered the proposed rule’s impact on 

efficiency, competition, and capital formation. See 

15 U.S.C. 78c(f). 

17 17 CFR 200.30–3(a)(12). 

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

2 17 CFR 240.19b–4. 

of the 30-day operative delay is 

consistent with the protection of 

investors and the public interest. 

Accordingly, the Commission hereby 

waives the operative delay and 

designates the proposed rule change 

operative upon filing.16

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– 

NASDAQ–2021–062 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–2021–062. 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–NASDAQ–2021–062, and 

should be submitted on or before 

September 9, 2021. 

For the Commission, by the Division of 

Trading and Markets, pursuant to delegated 

authority.17

J. Matthew DeLesDernier, 

Assistant Secretary. 

[FR Doc. 2021–17758 Filed 8–18–21; 8:45 am] 

BILLING CODE 8011–01–P 

SECURITIES AND EXCHANGE 

COMMISSION 

[Release No. 34–92664; File No. SR–BX– 

2021–034] 

Self-Regulatory Organizations; Nasdaq 

BX, Inc.; Notice of Filing and 

Immediate Effectiveness of Proposed 

Rule Change To Amend the Expiration 

Timeframe of Long-Term Index 

Options Series 

August 13, 2021. 

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 August 

10, 2021, Nasdaq BX, Inc. (‘‘BX’’ or 

‘‘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 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 amend BX 

Rules at Options 2, Section 4, 

Obligations of Market Makers and Lead 

Market Makers; Options 2, Section 5, 

Market Maker Quotations; and Options 

4A, Section 12, Terms of Index Option 

Contracts. 

The text of the proposed rule change 

is available on the Exchange’s website at 

https://listingcenter.nasdaq.com/ 

rulebook/bx/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 

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 BX 

Options 2, Section 4, Obligations of 

Market Makers and Lead Market 

Makers; Options 2, Section 5, Market 

Maker Quotations; and Options 4A, 

Section 12, Terms of Index Option 

Contracts. Specifically, the Exchange 

proposes to amend the expiration 

timeframe of Long-Term Options Series 

or ‘‘LEAPs.’’ 

Options 2, Section 5(d)(2)(A) 

currently provides, ‘‘Bid/ask 

differentials shall not apply to any 

options series until the time to 

expiration is less than nine (9) months 

for index options.’’ Similarly, Options 

4A, Section 12(b) currently states, 

(1) Notwithstanding the provisions of 

paragraph (a)(3), above, BX Options may list 

long-term index options series that expire 

from nine (9) to sixty (60) months from the 

date of issuance. 

(i) Index long term options series may be 

based on either the full or reduced value of 

the underlying index. There may be up to ten 

(10) expiration months, none further out than 

sixty (60) months. Strike price interval and 

continuity Rules shall not apply to such 

options series until the time to expiration is 

less than nine (9) months. Bid/ask 

differentials for long-term options contracts 

are specified within Options 2, Section 

5(d)(2)(A). 

The Exchange proposes to amend the 

current text of Options 2, Section 

5(d)(2)(A) and Options 4A, Section 12(b) 

to amend the time to expiration term of 


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Federal Register / Vol. 86, No. 158 / Thursday, August 19, 2021 / Notices 46725 

3See Cboe Options Exchange, Inc. Rule 4.13(b). 

See also Nasdaq Phlx LLC and Nasdaq ISE, LLC 

Options 4A, Section 12(b). 

4See ISE, GEMX and MRX Options 2, Section 

5(e)(1). 

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

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

7See supra note 3. 

8See supra note 3. 

9See supra note 3. 

10See ISE, GEMX and MRX Options 2, Section 

5(e)(1). 

11See ISE, GEMX and MRX Options 2, Section 

5(e)(1). 

12 15 U.S.C. 78s(b)(3)(A). 

13 17 CFR 240.19b–4(f)(6). In addition, Rule 19b– 

4(f)(6)(iii) requires a self-regulatory organization to 

give the Commission written notice of its intent to 

file the proposed rule change, along with a brief 

description and text of the proposed rule change, 

at least five business days prior to the date of filing 

Continued 

LEAPs on index options from nine to 

sixty months to twelve to sixty months. 

Likewise, the Exchange proposes to 

amend the time to expiration for strike 

price interval, continuity rules and bid/ 

ask differentials for LEAPS on index 

options from less than nine to less than 

twelve months. 

Today, other options markets have 

terms similar to those proposed herein.3

The proposal would align BX’s rules 

with other options markets with respect 

to the opening month for LEAPs on 

index options and the time to expiration 

for strike price interval, continuity rules 

and bid/ask differentials for LEAPS on 

index options by changing nine to 

twelve months. 

The Exchange also proposes to amend 

Options 2, Sections 4 and 5 concerning 

a Market Maker’s or Lead Market 

Maker’s obligation to make two-sided 

markets in any option series with an 

expiration of nine months or greater. 

Today, Market Makers and Lead Market 

Makers are not required to make twosided markets in Quarterly Option 

Series, any Adjusted Option Series, and 

any option series with an expiration of 

nine months or greater in equities, ETFs 

or indexes. With this proposal, Market 

Makers and Lead Market Makers are not 

required to make two-sided markets in 

Quarterly Option Series, any Adjusted 

Option Series, and any option series 

with an expiration of nine months or 

greater in equities, and ETFs. With 

respect to indexes, Market Makers and 

Lead Market Makers would not be 

required to make two-sided markets in 

Quarterly Option Series, any Adjusted 

Option Series, and any option series 

with an expiration of twelve months or 

greater. The Exchange proposes to add 

rule text within Options 2, Sections 4 

and 5 to make clear a Lead Market 

Maker’s and Market Maker’s obligation, 

respectively, to make two-sided markets 

with respect to LEAPs. Today, Nasdaq 

ISE, LLC (‘‘ISE’’), Nasdaq GEMX, LLC 

(‘‘GEMX’’) and Nasdaq MRX, LLC 

(‘‘MRX’’) have similar rules which 

describe the way LEAPs on index 

options should be quoted.4

Implementation 

The Exchange proposes to implement 

this amendment on or before September 

30, 2021. The Exchange will issue an 

Options Trader Alert announcing the 

date the amendment will be operative. 

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 and to protect investors and the 

public interest by amending its rules, in 

part, to align BX’s rules with other 

options markets with respect to the 

opening month of acceptable months for 

LEAPs on index options and the time to 

expiration for strike price interval, 

continuity rules and bid/ask 

differentials for LEAPS on index 

options. Today, other options markets 

have terms similar to those proposed 

herein.7

Amending Options 2, Section 

5(d)(2)(A) and Options 4A, Section 12(b) 

would harmonize BX’s rules with 

respect to LEAPs on index options to 

permit BX to list these options in the 

same manner as other options markets 

that have similar rules.8 The Exchange 

notes that this rule change will allow 

BX to list more non-LEAP expirations as 

the front-months for LEAP expirations 

would begin with month twelve instead 

of month nine. The Exchange believes 

that this proposal would allow it to list 

more months where there is greater 

customer demand as this proposal 

would amend the opening month for 

LEAPs on index options from nine to 

twelve months. Harmonizing BX’s rules 

with respect to LEAPs on index options 

will allow BX to list these options in the 

same manner as other options markets 

that have similar rules.9

Amending Options 2, Sections 4 and 

5 to specifically note that the opening 

month for LEAPs on index options 

would be twelve months by adding a 

separate sentence to address LEAPs for 

index options is consistent with the Act. 

The proposal would align the Exchange 

with the way other options markets 

require market makers to quote LEAPs 

on index options.10 BX Lead Market 

Makers and Market Makers would be 

required to provide two-sided 

quotations in additional months with 

this proposal as the opening month for 

LEAPs on index options is changing 

from nine to twelve months. 

B. Self-Regulatory Organization’s 

Statement on Burden on Competition 

The Exchange does not believe that 

the proposed rule change will not 

impose any burden on competition not 

necessary or appropriate in furtherance 

of the purposes of the Act. Specifically, 

the Exchange does not believe the 

proposal to amend Options 2, Section 

5(d)(2)(A) and Options 4A, Section 12(b) 

will impose any burden on intra-market 

competition as all Participants will be 

treated in the same manner with respect 

to time to expiration for strike price 

interval, continuity rules and bid/ask 

differentials for LEAPs on index 

options. Additionally, the Exchange 

does not believe the proposal will 

impose any burden on inter-market 

competition as market participants are 

welcome to become BX Participants if 

they determine that this proposed rule 

change has made BX more attractive or 

favorable. Finally, all options exchanges 

are free to compete by listing and 

trading index options with similar 

expirations. 

Amending Options 2, Sections 4 and 

5 to specifically note that the opening 

month for LEAPs on index options 

would be twelve months by adding a 

separate sentence to address LEAPs on 

index options does not impose an 

undue burden on competition, rather 

the proposal aligns the Exchange’s rule 

with rules of other options markets with 

respect to quoting LEAPs.11

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. 

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 12 and Rule 19b– 

4(f)(6) thereunder.13


lotter on DSK11XQN23PROD with NOTICES1
46726 Federal Register / Vol. 86, No. 158 / Thursday, August 19, 2021 / Notices 

of the proposed rule change, or such shorter time 

as designated by the Commission. The Exchange 

has satisfied this requirement. 

14 17 CFR 240.19b–4(f)(6). 

15 17 CFR 240.19b–4(f)(6)(iii). 

16For purposes only of waiving the 30-day 

operative delay, the Commission also has 

considered the proposed rule’s impact on 

efficiency, competition, and capital formation. See 

15 U.S.C. 78c(f). 17 17 CFR 200.30–3(a)(12). 

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

2 17 CFR 240.19b–4. 

A proposed rule change filed under 

Rule 19b–4(f)(6) 14 normally does not 

become operative prior to 30 days after 

the date of the filing. However, pursuant 

to Rule 19b–4(f)(6)(iii),15 the 

Commission may designate a shorter 

time if such action is consistent with the 

protection of investors and the public 

interest. The Exchange has requested 

that the Commission waive the 30-day 

operative delay. Waiver of the operative 

delay would allow the Exchange to align 

its rules with other options exchanges 

with respect to the opening month for 

LEAPs on index options and implement 

its proposed rule change on or before 

September 30, 2021. The Commission 

believes that the proposed rule change 

presents no novel issues and that waiver 

of the 30-day operative delay is 

consistent with the protection of 

investors and the public interest. 

Accordingly, the Commission hereby 

waives the operative delay and 

designates the proposed rule change 

operative upon filing.16

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– 

BX–2021–034 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–BX–2021–034. 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–BX–2021–034, and should 

be submitted on or before September 9, 

2021. 

For the Commission, by the Division of 

Trading and Markets, pursuant to delegated 

authority.17

J. Matthew DeLesDernier, 

Assistant Secretary. 

[FR Doc. 2021–17756 Filed 8–18–21; 8:45 am] 

BILLING CODE 8011–01–P 

SECURITIES AND EXCHANGE 

COMMISSION 

[Release No. 34–92662; File No. SR– 

EMERALD–2021–25] 

Self-Regulatory Organizations; MIAX 

Emerald, LLC; Notice of Filing and 

Immediate Effectiveness of a Proposed 

Rule Change To Amend Its Fee 

Schedule To Adopt a Tiered-Pricing 

Structure for Additional Limited 

Service MIAX Emerald Express 

Interface Ports 

August 13, 2021. 

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 August 2, 

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 Exchange’s Fee Schedule 

(the ‘‘Fee Schedule’’) to amend certain 

port fees. 

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. 


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