Document ID: SEC-2017-0022-0001
Agency: sec
Document Type: Notice
Title: Self-Regulatory Organizations; Proposed Rule Changes: Bats BZX Exchange, Inc.
Posted Date: 2017-01-09T05:00Z

[Federal Register Volume 82, Number 5 (Monday, January 9, 2017)]
[Notices]
[Pages 2425-2426]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 2017-00101]

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SECURITIES AND EXCHANGE COMMISSION

[Release No. 34-79725; File No. SR-BatsBZX-2016-30]

Self-Regulatory Organizations; Bats BZX Exchange, Inc.; Notice of 
Designation of a Longer Period for Commission Action on Proceedings to 
Determine Whether to Approve or Disapprove a Proposed Rule Change, as 
Modified by Amendment No. 1, to BZX Rule 14.11(e)(4), Commodity-Based 
Trust Shares, to List and Trade Winklevoss Bitcoin Shares Issued by the 
Winklevoss Bitcoin Trust

January 4, 2017.
    On June 30, 2016, Bats BZX Exchange, Inc. filed with the Securities 
and Exchange Commission (``Commission''), pursuant to Section 19(b)(1) 
of the Securities Exchange Act of 1934 (``Act'') \1\ and Rule 19b-4 
thereunder,\2\ a proposed rule change to list and trade Winklevoss 
Bitcoin Shares issued by the Winklevoss Bitcoin Trust under BZX Rule 
14.11(e)(4). The proposed rule change was published for comment in the 
Federal Register on July 14, 2016.\3\
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    \1\ 15 U.S.C. 78s(b)(1).
    \2\ 17 CFR 240.19b-4.
    \3\ See Securities Exchange Act Release No. 78262 (Jul. 8, 
2016), 81 FR 45554.
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    On August 23, 2016, pursuant to Section 19(b)(2) of the Act,\4\ the 
Commission designated a longer period within which to approve the 
proposed rule change, disapprove the proposed rule change, or institute 
proceedings to determine whether to disapprove the proposed rule 
change.\5\ On October 12, 2016, the Commission instituted proceedings 
under Section 19(b)(2)(B) of the Act \6\ to determine whether to 
approve or disapprove the proposed rule change.\7\ On October 20, 2016, 
the Exchange filed Amendment No. 1 to the proposed rule change, and 
Amendment No. 1 was published for comment in the

[[Page 2426]]

Federal Register on November 3, 2016.\8\ The Commission has received 30 
comment letters on the proposed rule change.\9\
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    \4\ 15 U.S.C. 78s(b)(2).
    \5\ See Securities Exchange Act Release No. 78653, 81 FR 59256 
(Aug. 29, 2016). The Commission designated October 12, 2016, as the 
date by which it should approve, disapprove, or institute 
proceedings to determine whether to disapprove the proposed rule 
change.
    \6\ 15 U.S.C. 78s(b)(2)(B).
    \7\ See Securities Exchange Act Release No. 79084, 81 FR 71778 
(Oct. 18, 2016). Specifically, the Commission instituted proceedings 
to allow for additional analysis of the proposed rule change's 
consistency with Section 6(b)(5) of the Act, which requires, among 
other things, that the rules of a national securities exchange be 
``designed to prevent fraudulent and manipulative acts and 
practices, to promote just and equitable principles of trade,'' and 
``to protect investors and the public interest.'' See id., 81 FR at 
71781.
    \8\ See Securities Exchange Act Release No. 79183 (Oct. 28, 
2016), 81 FR 76650 (Nov. 3, 2016).
    \9\ See Letters from Robert D. Miller, VP Technical Services, 
RKL eSolutions (July 11, 2016); Jorge Stolfi, Full Professor, 
Institute of Computing UNICAMP (July 13, 2016); Guillaume 
Lethuillier (July 26, 2016); Michael B. Casey (July 31, 2016); Erik 
A. Aronesty, Sr. Software Engineer, Bloomberg LP (Aug. 2, 2016); Dan 
Anderson (Aug. 27, 2016); Robert Miller (Oct. 12, 2016); Lysle Shaw-
McMinn, O.D. (Oct. 13, 2016); Nils Neidhardt (Oct. 13, 2016); Dana 
K. Barish (2 letters; Oct. 13, 2016); Xin Lu (Oct. 13, 2016); Rodger 
Delehanty CFA (Oct. 14, 2016); Dylan (Oct. 14, 2016); Dana K. Barish 
(Oct. 14, 2016); Dana K. Barish (2 letters; Oct. 15, 2016); Jorge 
Stolfi, Full Professor, Institute of Computing UNICAMP (Nov. 1, 
2016); Michael B. Casey (Nov. 5, 2016); Anonymous (Nov. 8, 2016); 
Chris Burniske, Blockchain Products Lead, ARK Investment Management 
LLC (Nov. 8, 2016); Colin Keeler (Nov. 14, 2016); Robert S. Tull, 
(Nov. 14, 2016); Mark T. Williams (Nov. 15, 2016); Anonymous (Nov. 
21, 2016); XBT OPPS Team (Nov. 21, 2016); Anonymous (Nov. 22, 2016); 
Ken Maher (Nov. 22, 2016); Kyle Murray, Assistant General Counsel, 
Bats Global Markets, Inc. (Nov. 25, 2016); and Colin Baird (Nov. 26, 
2016). All comments on the proposed rule change are available on the 
Commission's Web site at: https://www.sec.gov/comments/sr-batsbzx-2016-30/batsbzx201630.shtml.
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    Section 19(b)(2) of the Act \10\ provides that, after initiating 
disapproval proceedings, the Commission shall issue an order approving 
or disapproving the proposed rule change not later than 180 days after 
the date of publication of notice of filing of the proposed rule 
change. The Commission may extend the period for issuing an order 
approving or disapproving the proposed rule change by not more than 60 
days if the Commission determines that a longer period is appropriate 
and publishes the reasons for such determination. The proposed rule 
change was published for notice and comment in the Federal Register on 
July 14, 2016. January 10, 2017 is 180 days from that date, and March 
11, 2017 is 240 days from that date.
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    \10\ 15 U.S.C. 78s(b)(2).
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    The Commission finds it appropriate to designate a longer period 
within which to issue an order approving or disapproving the proposed 
rule change so that it has sufficient time to consider this proposed 
rule change. Accordingly, the Commission, pursuant to Section 19(b)(2) 
of the Act,\11\ designates March 11, 2017 as the date by which the 
Commission should either approve or disapprove the proposed rule change 
(File No. SR-BatsBZX-2016-30), as modified by Amendment No. 1.
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    \11\ Id.

    For the Commission, by the Division of Trading and Markets, 
pursuant to delegated authority.\12\
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    \12\ 17 CFR 200.30-3(a)(57).
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Eduardo A. Aleman,
Assistant Secretary.
[FR Doc. 2017-00101 Filed 1-6-17; 8:45 am]
BILLING CODE 8011-01-P