Federal Register #SR-CboeBZX-2026-022

Proposed Rule Change: Cboe BZX Exchange LMP Tier Criteria Amendment

This notice concerns a proposed regulatory amendment by Cboe BZX Exchange, Inc. affecting its LMP (Liquidity Management Program) Tiers 1 and 2 on the BZX Equities trading platform. - Government Buyer: - Securities and Exchange Commission (SEC) - Cboe BZX Exchange, Inc. (as the regulated entity) - OEMs and Vendors: - No OEMs or vendors are involved; this is a regulatory change, not a procurement - Products/Services Requested: - No products or services are being procured - The notice proposes to remove the NBBO Size Time requirement from LMP Tier 1 and 2 criteria, while retaining NBBO Time and Displayed Size Time - Unique or Notable Requirements: - The amendment is intended to incentivize liquidity provision and improve market quality - The change affects exchange members eligible for additive rebates under LMP Tiers 1 and 2 - The SEC is soliciting public comments on the proposed rule change - No purchase quantities, part numbers, or procurement actions are involved

Description

The Cboe BZX Exchange, Inc. proposes to amend its Fee Schedule to revise the criteria for LMP Tiers 1 and 2, which provide additive rebates to members who meet certain quoting and volume criteria on the equities trading platform. The changes remove the NBBO Size Time requirement from the tier criteria, aiming to incentivize liquidity provision and enhance market quality. This amendment is intended to maintain competitive pricing and encourage increased order flow to the Exchange, benefiting all market participants.

View original listing