SUBMISSION COVER SHEET

IMPORTANT: Check box if Confidential Treatment is requested

Registered Entity Identifier Code (optional): 23-311

Organization: The Board of Trade of the City of Chicago, Inc. ("CBOT")

Filing as a: DCM SEF DCO SDR 

Please note - only ONE choice allowed.

Filing Date (mm/dd/yy): July 11, 2023 Filing Description: Modifications to the Ultra 10-

Year Futures Market Maker Program

SPECIFY FILING TYPE 

Please note only ONE choice allowed per Submission.

Organization Rules and Rule Amendments

Certification § 40.6(a)

Approval § 40.5(a)

Notification § 40.6(d)

Advance Notice of SIDCO Rule Change § 40.10(a)

SIDCO Emergency Rule Change § 40.10(h)

Rule Numbers: Not Applicable

New Product Please note only ONE product per Submission.

Certification § 40.2(a) 

Certification Security Futures § 41.23(a)

Certification Swap Class § 40.2(d)

Approval § 40.3(a)

Approval Security Futures § 41.23(b)

Novel Derivative Product Notification § 40.12(a)

Swap Submission § 39.5

Official Product Name: 

Product Terms and Conditions (product related Rules and Rule Amendments)

Certification § 40.6(a) 

Certification Made Available to Trade Determination § 40.6(a)

Certification Security Futures § 41.24(a)

Delisting (No Open Interest) § 40.6(a) 

Approval § 40.5(a)

Approval Made Available to Trade Determination § 40.5(a)

Approval Security Futures § 41.24(c)

Approval Amendments to enumerated agricultural products § 40.4(a), § 40.5(a)

“Non-Material Agricultural Rule Change” § 40.4(b)(5)

Notification § 40.6(d)

Official Name(s) of Product(s) Affected: 

Rule Numbers: 
300 Vesey Street New York, NY 10282 T 212 299 2200 F 212 301 4645 christopher.bowen@cmegroup.com cmegroup.com

Christopher Bowen 

Managing Director and Chief Regulatory Counsel

Legal Department

July 11, 2023

VIA ELECTRONIC PORTAL

Christopher J. Kirkpatrick 

Office of the Secretariat

Commodity Futures Trading Commission

Three Lafayette Centre

1155 21st Street, N.W.

Washington, D.C. 20581

RE: Modifications to the Ultra 10-Year Futures Market Maker Program

CBOT Submission No. 23-311

Dear Mr. Kirkpatrick:

The Board of Trade of the City of Chicago, Inc. (“CBOT” or “Exchange”) hereby notifies the Commodity Futures 

Trading Commission (“CFTC” or “Commission”) of plans to modify the Ultra 10-Year Futures Market Maker Program 

(“Program”). The modifications to the Program will become effective on August 1, 2023.

Exhibit 1 sets forth the terms of this Program. Modifications appear below, with additions underlined and deletions 

overstruck. 

CBOT reviewed the designated contract market core principles (“Core Principles”) as set forth in the Commodity

Exchange Act (“CEA”). During the review, CBOT staff identified the following Core Principles as potentially being 

impacted: Monitoring of Trading, Execution of Transactions, Protection of Market Participants, Compliance with 

Rules, Availability of General Information, and Recordkeeping. 

The Program does not impact the Exchange’s ability to perform its trade practice and market surveillance obligations 

under the CEA and the Exchange’s market regulation staff will monitor trading in the Program’s products to prevent 

manipulative trading and market abuse. Additionally, the Exchange has implemented systems to track Program 

participants’ obligations to ensure proper distribution of earned incentives. The incentives in the Program do not 

impact the Exchange’s order execution. Participants in the Program will be selected by Exchange staff using criteria 

as further stated in Exhibit 1. Chapter 4 of the CBOT rules includes prohibitions against fraudulent, non-competitive, 

unfair or abusive practices. All participants must execute a contractual agreement with the Exchange in which each 

participant will expressly agree to comply with and be subject to, applicable regulations and CBOT rules. The 

Program is subject to the Exchange’s record retention policies which comply with the CEA. 

CBOT certifies that the Program complies with CEA and the regulations thereunder. There were no substantive 

opposing views to this Program.

The Exchange certifies that this submission has been concurrently posted on the Exchange’s website at 

http://www.cmegroup.com/market-regulation/rule-filings.html.

If you require any additional information regarding this submission, please e-mail 

CMEGSubmissionInquiry@cmegroup.com or contact Rachel Johnson at 312-466-4393 or via e-mail at 

Rachel.Johnson@cmegroup.com. Please reference our CBOT Submission No. 23-311 in any related

correspondence.

Sincerely,

/s/ Christopher Bowen

Managing Director and Chief Regulatory Counsel 

Attachment: Exhibit 1
EXHIBIT 1

Ultra 10-Year Futures Market Maker Program

Program Purpose

The purpose of the Program is to incent market makers to enhance liquidity in the product listed below. A 

more liquid contract benefits all participants in the market. 

Product Scope

CBOT Ultra 10-Year futures (“Product”).

Eligible Participants

There is no limit to the number of participants that may participate in the program. Participants must be 

CBOT members. Program participants shall not be eligible to concurrently participate in AMFIIP.

Program Term

Start date is January 11, 2016. End date is July 31, 2023 January 31, 2024.

Hours

RTH (7:00AM – 4:00PM).

Obligations*

Minimum Quoting Obligations. In order to be eligible to receive the incentives, participants must meet 

minimum contracted quoting obligations in the Product at designated monthly bid-ask spreads during a 

specified percentage of RTH in accordance with the following:

Front-Month Outright

Bid/Ask

Spread

Size 

(2-Sided) Time-in-Market

Tier 1 1.0/32nd

1.5/32nd

10

25

65%

Tier 2 1.0/32nd

1.5/32nd

25

50 65%

Tier 3 1.0/32nd 50 65%

*Roll Policy. Obligations roll on the first business day of the delivery month.

Extreme Events Clause: If 10-Year CME Group Volatility Index (CVOL) is 115 170 or greater for at least

four (4) three (3) days in a given calendar month, the obligations below may be implemented. Participants 

will be given notice that the Extreme Events Clause has taken effect.

(i) Bid/Ask Spread: Increased by 2X to 2.5/32

nd
If 10-Year CVOL is 230 or greater on any day in a given calendar month, the Exchange may reduce the 

time-in-market obligations across all Modules. The time-in-market reduction is subject to a floor of 20%. 

Notwithstanding the foregoing, the Exchange may further reduce the bid/ask spreads, sizes, or time-inmarket obligations based on ongoing evaluations of market conditions and volatility. Participants will be

given notice that the Extreme Events Clause has taken effect.

Holiday Quoting Schedule. There will be no quoting obligations on the dates listed below. The Holiday 

Quoting Schedule may be adjusted by the Exchange. Participants will be given notice of any adjustments 

to the Holiday Quoting Schedule.

Date Holiday

9/5/2022 Labor Day

10/10/2022 Columbus Day

11/11/2022 Veteran’s Day

11/24/2022 Thanksgiving

11/25/2022 Thanksgiving (Observed)

12/26/2022 Christmas (Observed)

1/2/2023 New Year’s (Observed)

1/16/2023 Birthday of Dr. Martin Luther King, Jr.

2/20/2023 Presidents’ Day

4/7/2023 Good Friday

5/29/2023 Memorial Day

6/19/2023 Juneteenth

7/4/2023 Independence Day

9/4/2023 Labor Day

10/9/2023 Columbus Day

11/10/2023 Veterans Day

11/23/2023 Thanksgiving

11/24/2023 Post-Thanksgiving

12/25/2023 Christmas

1/1/2024 New Year’s

1/15/2024 Birthday of Dr. Martin Luther King, Jr.

Incentives

Tier 1

Fee Discounts. Upon meeting all obligations, as determined by the Exchange, participants will receive a 

$0.05 $0.04 fee discount for each trade in the Product.

Tier 2

Fee Discounts. Upon meeting all obligations, as determined by the Exchange, participants will receive a 

$0.07 fee discount for each trade in the Product.
Tier 3

Fee Discounts. Upon meeting all obligations, as determined by the Exchange, participants will receive a

$0.09 fee discount for each trade in the Product.

Monitoring and Termination of Status

The Exchange shall monitor trading activity and participants’ performance and shall retain the right to 

revoke participant status if it concludes from review that a participant no longer meets the eligibility 

requirements or fails to meet the obligations of the Program.

If the Exchange determines that a participant has not met its quoting obligations during one (1) two (2)

calendar months over the course of the Program but is within twenty percent (20%) of the time-in-market 

obligations, the participant will be eligible to receive the incentives for that each applicable month. 

If the Exchange determines that a participant has not met its quoting obligations during one (1) additional 

calendar month, the participant will be eligible to receive incentives for that applicable month. Participants 

must meet quoting obligations for all subsequent months in order to continue to receive the incentives.

Upon utilizing the exceptions set forth above, participants that fail to meet quoting obligations in any 

additional month may be removed from the Program.