North American Derivatives Exchange
Emergency Action

Per North American Derivatives Exchange Rule 2.4, the undersigned two members of the Management Team have

authorized the adoption of a temporary emergency rule to address the emergency following emergency:

being addressed (as listed in Rule 2.4(c)) (check appropriate):

gency
(i) _____ any activity that manipulates or attempts to manipulate the Market;
(ii) _____ any actual, attempted, or threatened corner, squeeze, or undue concentration of positions;
(iii) _X_ any circumstance that may materially affect the performance of the Contracts traded on. Nadex:
(iv) ____ any action taken by the United States, any foreign government, any state or local governmental

body, any other contract market or board of trade, or any other exchange, market, facility, or trade
association (foreign or domestic) that may have a direct impact on trading on Nadex,
(v) any circumstances that may have a severe, adverse impact upon the physical functions of Nadex
including, for example, natural disasters such as fire or flood, terrorist acts such as bomb threats,
physical plant breakdowns such as plumbing, heating, or air conditioning problems, system
breakdowns such as power, telephony, cable, trading systems, or computer systems failures or
interruptions to communications, the network, or the Internet;

(vi) ____ the imposition of any injunction or other restraint by any government agency, court, or arbitrator
that may affect the ability of a Member to perform on Contracts,
(vii) any circumstance in which it appears that a Nadex Member or any other person is in such

operational condition, or is conducting business in such a manner, that such person cannot be
permitted to continue in business without jeopardizing the safety of Nadex Members or Nadex
itself, and

(viii) any other unusual, unforeseeable, and adverse circumstance which, in the opinion of the
governing board, requires immediate action and threatens or may threaten such things as the fair
and orderly trading in, or the liquidation of or delivery pursuant to Contracts traded on Nadex.

‘The reason for the emergency action is: The Nadex Initial Jobless Claims (“JC”) Binary contracts are settled using
the unemployment insurance benefits claims number as determined by the U.S Department of Labor, Employment
and Training Administration Division as the expiration value. This number is typically released every Thursday.
In preparation for its listing schedule for the week of December 21, 2020 to accommodate the 2020 Christmas
holiday, Nadex reviewed multiple websites which confirmed the number would be released per its regular schedule
on Thursday, December 24, 2020. Nadex submitted its amended listing schedule for the week of December 21,
2020 to the Commission on December 4, 2020. On December 17, 2020, Nadex again reviewed multiple websites
to confirm the release date of the unemployment insurance benefits claims as December 24, 2020. The number,
however, was released on the morning of December 23, 2020, forcing Nadex to close its IJC contracts earlier than
their listed expiration time. Two members were negatively impacted by the issue after entering trades with a third
member after the number was released. The negatively impacted Members were refunded their losses, which totaled
$420.50. After contacting the Department of Labor to inquire as to the change, it was explained that President
Donald Trump had declared December 24, 2020 as a federal holiday, essentially giving federal employees the day
off. Accordingly, it was determined the unemployment insurance benefits claims number would be released on
December 23, 2020. The Federal Reserve Bank of St. Louis was also contacted and stated that its website had not
been updated with the new release date until Friday, December 18, 2020. Both the Department of Labor and the
Federal Reserve Bank of St. Louis confirmed the next release date would not be impacted by the New Year’s holiday
during the week of December 28, 2020. Therefore, Nadex does not intend to amend its listing hours for the uC
contracts during the week of December 28, 2020.

py Lag KB . a Anchaw 9) Sry

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Title: Chiet Commercial Officer Title: Chief Financial Officer

Date: December 23, 2020

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