# SECURITIES AND EXCHANGE COMMISSION

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URL: https://www.frixlaw.com/law-library/documents/agency%3Asec%3A08e5d6d2715927bf

## Record

- **Collection:** Agency decision
- **Document type:** Agency decision

## Text

SECURITIES AND EXCHANGE COMMISSION
[Release No. 34-106382; File No. SR-CboeEDGX-2026-060]
Self-Regulatory Organizations; Cboe EDGX Exchange, Inc.; Notice of Filing and
Immediate Effectiveness of a Proposed Rule Change to Introduce a Data Vendor Program
September 15, 2026.
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 September 8, 2026, Cboe EDGX Exchange,
Inc. (the “Exchange” or “EDGX) filed with the Securities and Exchange Commission (the
“Commission”) the 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
Cboe EDGX Exchange, Inc. (the “Exchange” or “EDGX”) proposes to introduce a Data

Vendor Program, which includes introducing a new defined term of Data Vendor, along with
other clarifying changes. The text of the proposed rule change is provided in Exhibit 5.
The text of the proposed rule change is also available on the Commission’s website
(https://www.sec.gov/rules/sro.shtml), the Exchange’s website
(https://www.cboe.com/us/equities/regulation/rule_filings/edgx/), and at the principal office of the
Exchange.

1

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

2

17 CFR 240.19b-4.

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 purpose of this proposed rule change is to (i) introduce a definition of Data Vendor;
(ii) codify the existing definition (as defined in the Exchange’s applicable North American
Market Data Policies) of Extranet Service Provider; (iii) codify an existing practice that permits
an External Distributor of both Cboe One Summary and Cboe One Premium to be liable only for
the External Distribution Fee for Cboe One Premium; and (iv) create a program for Data
Vendors in order to incentivize Data Vendors to build out the applicable feeds and make them
commercially available to subscribers.3 The proposed program will provide fee waivers (as
described below) for External Distribution Fees for Data Vendors for the Cboe One Summary
Feed, Cboe One Premium Feed, EDGX Summary Depth Data Feed, and EDGX Top Data Feed.
Proposed Definitions
In connection with this proposed program, the Exchange first proposes to adopt a
definition for a specific category of participants. Specifically, the Exchange proposes to establish

3

The Exchange initially submitted the proposed rule change on July 1, 2026 (SR-CboeEDGX-2026-048).
On July 15, 2026, the Exchange withdrew that filing and submitted SR-CboeEDGX-2026-049. On
September 8, 2026, the Exchange withdrew that filing and submitted this filing.

2

the term “Data Vendor” to mean “an External Distributor that (i) is actively engaged, as part of
its primary business objective, in the solicitation of unaffiliated third-party Distributors to
redistribute a transformed Market Data Product; (ii) does not maintain a brokerage relationship
with Users in connection with the receipt or use of the applicable Market Data Product; and (iii)
is not an Extranet Service Provider.” As part of this new definition, and as further described
below, the Exchange proposes to codify the existing definition of Extranet Service Provider
within the Cboe Global North American Market Data Policies to be within its Fee Schedule.
The Exchange has also established objective, verifiable criteria for determining eligibility
as a Data Vendor. The following criteria, which will be reflected in the Exchange’s Fee
Schedule, must be satisfied: (1) the External Distributor must identify itself as a Data Vendor in
publicly available marketing materials; (2) the External Distributor must transform the applicable
Market Data Product before redistribution, which may include aggregation across multiple data
sources, normalization into a consistent format, enrichment with reference data or analytics, or
repackaging into a proprietary delivery mechanism (e.g., terminal, API, or proprietary feed); (3)
the External Distributor must redistribute the applicable transformed Market Data Product to
downstream Distributors as part of a paid commercial offering; (4) the External Distributor must
not maintain a brokerage relationship with any User to whom it distributes the applicable Market
Data Product; (5) the External Distributor must not be an Extranet Service Provider; and (6) the
External Distributor must be actively engaged in the solicitation of unaffiliated third-party
Distributors to subscribe to and redistribute the applicable transformed Market Data Product.
Upon request, the External Distributor must provide a written attestation certifying compliance
with the foregoing criteria. The Exchange may request supporting documentation, including but
not limited to Distributor subscriber lists, revenue breakdowns by recipient type, and descriptions

3

of the transformations applied to the Market Data Product. These objective eligibility criteria
ensure that the Data Vendor Program is equitably applied to all similarly situated market
participants.
External Distributor
To begin, “Data Vendor” is intended to only encompass External Distributors and not
Internal Distributors. An External Distributor is defined as a Distributor that receives the
Exchange Market Data product and then distributes that data to a third party or one or more
Users outside the Distributor’s own entity.4 The Exchange seeks to adopt this program in order to
encourage broader redistribution of this data. As such, the Exchange limits this to External
Distributors as the intent of this program is to have data distributed outside one’s own entity.
Primary Business is to Redistribute to Distributors
To be eligible as a Data Vendor, an External Distributor must be taking in data for the
primary business purpose of selling access to the applicable feed as a service in its own right, not
merely redistributing data in incidental support of broader business functions such as trade
execution, account management, or brokerage services. The Exchange notes that, as part of its
business, a Data Vendor may redistribute a market data product to Users, but the primary
purpose must be to redistribute data to Distributors. The Exchange will assess whether an
External Distributor’s primary business purpose satisfies this criterion based on the External
Distributor’s publicly available marketing materials. If the Exchange were to modify this
requirement to permit a primary business purpose of redistribution to either Distributors or
Users, it would unintentionally include firms that may redistribute only to Users and that are not
traditionally considered data vendors (e.g., a media outlet or a bank).

4

See EDGX Equities Fee Schedule.

4

Transformed Market Data Product
To be eligible, the Exchange requires that the Data Vendor not simply pass through data
in its original form. Transformation may include aggregation across multiple sources,
normalization into a consistent format, enrichment with derived analytics, or repackaging into a
proprietary delivery mechanism (e.g., terminal, API, feed), or any other value-added processing
that distinguishes the output from the original source data.
No Brokerage Relationship with Users
Next, the Exchange proposes that the definition of Data Vendor include a stipulation that
a Data Vendor must not maintain a brokerage relationship with Users who receive the market
data product. The Exchange already has programs aimed at retail brokers, for example, both the
Small Retail Broker Program and the Small Retail Broker Hosted Solutions Program.5 This
proposed program is intended to encourage Data Vendors specifically to take in the applicable
feeds and distribute them. A Data Vendor’s service model is different from a retail broker’s, as a
Data Vendor’s business model is built around providing data to firms and Users alike, whereas a
retail broker’s business model is focused on connecting Users to markets in order to trade and
may include providing market data as part of its offering to its Users. As the Exchange already
has programs specifically for retail brokers, the Exchange does not believe it would be
appropriate to include retail brokers here. The Exchange notes that if a Data Vendor that is
currently receiving a fee waiver under this Program subsequently commences a brokerage
relationship with its Users, it will no longer satisfy the definition of Data Vendor and will cease
to be eligible for the Program. In such case, the External Distributor would be assessed the

5

See EDGX Equities Fee Schedule.

5

standard External Distribution Fee for the applicable feed as of the date it no longer satisfies the
definition of Data Vendor.
Not an Extranet Service Provider
As noted above, the Exchange proposes also to define Extranet Service Provider when it
introduces the definition of Data Vendor into its Fee Schedule. Today, this term already exists in
the Cboe Global Markets North American Data Policies.6 The Exchange proposes to codify this
definition in its Fee Schedule because the proposed definition of Data Vendor directly references
this defined term. Specifically, the Exchange proposes to codify that an Extranet Service
Provider is “an entity that has entered into a Cboe Global Markets Global Data Agreement and
Transmits an Exchange Market Data Product, via an extranet operated by such entity, to data
recipients. ‘Transmit’ means to direct an Exchange Market Data Product to one or more data
recipients without modification of the content, format, or other characteristics of the Exchange
Market Data Product.” An Extranet Service Provider is not authorized to use or process an
Exchange Market Data Product for any purpose.
Applicable Data Feeds
By way of background, the Exchange offers the Cboe One Premium Data Feed, which is
a data feed that disseminates, on a real-time basis, the aggregate best bid and offer (“BBO”) of
all displayed orders for securities traded on the Exchange and its affiliated equities exchanges
and enables recipients to receive aggregated two-sided quotations from EDGX and its affiliated
equities exchanges for up to twelve (12) price levels (and, for a limited time, up to five (5) price
levels).7 The Cboe One Premium Data Feed is created using the data from the Exchange

6

See Market_Data_Policies.pdf

7

EDGX filed to increase the levels of the Cboe One Premium Data Feed from five (5) levels to twelve (12)
levels. To help in this transition, it is currently supporting both the five and twelve level feeds; however, as

6

and each of its affiliated equities exchanges’ Summary Depth data feeds (allowing for up to 48
total price levels).
The Exchange also offers the Cboe One Summary Data Feed, which disseminates, on a
real-time basis, the aggregate BBO of all displayed orders for securities traded on EDGX and its
affiliated equities exchanges and also contains individual last sale information for EDGX and its
affiliated equities exchanges.8
The Exchange offers the EDGX Summary Depth Data Feed, which is a data feed that
offers aggregated two-sided quotations up to twelve price levels for all displayed orders entered
into the System, and the EDGX Top Data Feed, which is a data feed that offers top-of-book
quotations and last sale information based on orders entered into the Exchange’s System.
External Distribution Fees for Cboe One Premium and Cboe One Summary
The proposed rule change also clarifies that External Distributors of both Cboe One
Summary and Cboe One Premium shall only be responsible for paying the External Distribution
Fee for Cboe One Premium. The current fee schedule provides that "Cboe One Summary User
Fees can be applied to Cboe One Summary and Cboe One Premium External Distribution Fees."
Under the Exchange’s existing application of this provision, an External Distributor receiving
both Cboe One Summary and Cboe One Premium is assessed only the Cboe One Premium
External Distribution Fee9, and User Fees for both Cboe One Summary and Cboe One Premium
may be applied to offset that fee.

stated in its rule, EDGX shall sunset the five (5) level feed of Cboe One Premium by December 31, 2026
(with the date to be announced via Exchange Notice). See Rule 13.8(b)(i).
8

The Cboe One Summary Feed is distinguishable from the Cboe One Premium Feed in that it does not
provide depth of book data. In contrast, the Cboe One Premium Feed contains all the available data in the
Cboe One Summary Feed and also provides depth of book data.

9

To better illustrate this concept, consider the following examples. Example 1: If a firm subscribes to only
Cboe One Summary, its User costs will be used to offset the External Distribution Fee for Cboe One
Summary. In the event the firm’s User costs total $2,000, the firm will pay $2,000 in User fees and $3,000

7

The Exchange is now proposing to make this treatment explicit by adding clarifying
language to the fee schedule stating that External Distributors of both feeds are only responsible
for paying the External Distribution Fee for Cboe One Premium. This amendment does not alter
the economic substance of the Exchange's existing fee structure, nor does it impose any new or
increased fees on market participants. Rather, it reduces potential ambiguity by expressly
codifying the Exchange’s existing application of the user fee offset provisions. The Exchange
believes this clarification will promote transparency and reduce confusion among External
Distributors regarding their fee obligations under the Cboe One market data product offerings.
Impact of Proposed Program
As noted above, the proposed program would waive External Distribution Fees for Data
Vendors of the Cboe One Summary Feed, Cboe One Premium Feed, EDGX Summary Depth
Data Feed, and EDGX Top Data Feed (each, an “Applicable Feed”) that satisfy certain eligibility
requirements. A Data Vendor must not have received the Applicable Feed for which it seeks the
waiver during the 18 months10 preceding the waiver application date, and must integrate, or be
actively in the process of integrating, the Applicable Feed and making it commercially available
to its subscribers. The Data Vendor need not have fully integrated the Applicable Feed or made it
commercially available before the waiver begins. For a qualifying Data Vendor, the applicable

($5,000 - $2,000) for its External Distribution Fee. Example 2: If a firm subscribes only to Cboe One
Premium, its User costs will be used to offset the External Distribution Fee for Cboe One Premium. In the
event a firm’s User costs total $10,000, the firm will pay $10,000 in User fees and $2,500 ($12,500 $10,000) for its External Distribution Fee. Example 3: If a firm subscribes to both Cboe One Summary and
Cboe One Premium, only the External Distribution Fee for Cboe One Premium is assessed and this fee may
be offset by both Cboe One Summary and Cboe One Premium User fees. In the event a firm’s User costs
are $2,000 for Cboe One Summary and $10,000 for Cboe One Premium, the firm will pay a total of
$12,000 in User fees ($10,000 + $2,000) and it will pay $500 for its External Distribution Fee ($12,500 –
($10,000 + $2,000)).
10

The Exchange notes that this same 18-month requirement is the standard for its other fee waiver programs.
See EDGX Equities Fee Schedule.

8

waiver commences on the date it first receives the Applicable Feed, and, if that date occurs midmonth, that partial month counts as the first month of the waiver period. Specifically, the
Exchange proposes to waive the External Distribution Fee of $5,000 per month for Cboe One
Summary for 12 months (the “Summary Waiver Period”), except that a Data Vendor is not
eligible for a Summary Waiver Period if it is receiving Cboe One Premium because Cboe One
Summary is included in the Cboe One Premium External Distribution Fee as noted herein. To
clarify, because a Data Vendor receiving Cboe One Premium pays only the Cboe One Premium
External Distribution Fee (and no separate fee is assessed for Cboe One Summary), there is no
separate Cboe One Summary External Distribution Fee to waive for such a firm.11 The Exchange
proposes to waive the External Distribution Fee of $12,500 per month for Cboe One Premium
for 24 months (the “Premium Waiver Period”).
If an eligible Data Vendor already receives Cboe One Summary, it may still receive the
Premium Waiver Period if it has not received Cboe One Premium during the 18 months
preceding the waiver application date and satisfies the integration and commercial availability
requirement with respect to Cboe One Premium. During the Premium Waiver Period, the Data
Vendor’s Cboe One Summary subscription would be covered under the Premium Waiver, and no
separate External Distribution Fee would be assessed for Cboe One Summary. Similarly, an
eligible Data Vendor that builds out both Cboe One feeds simultaneously would receive only the
Premium Waiver Period.
Lastly, for eligible Data Vendors, the Exchange also proposes to waive the External
Distribution Fee of $2,500 per month for EDGX Summary Depth for 24 months (the “Summary

11

As noted above, a firm that subscribes to both Cboe One Premium and Cboe One Summary is only charged
the External Distribution Fee for Cboe One Premium. Accordingly, an eligible Data Vendor that builds out
both feeds simultaneously receives only the Premium Waiver Period.

9

Depth Waiver Period”) and the External Distribution Fee for EDGX Top of $2,250 for 12
months (the “Top Waiver Period”).
2.

Statutory Basis

The Exchange believes the proposed rule change is consistent with the Securities
Exchange Act of 1934 (the “Act”) and the rules and regulations thereunder applicable to the
Exchange and, in particular, the requirements of Section 6(b) of the Act.12 Specifically, the
Exchange believes the proposed rule change is consistent with the Section 6(b)(5)13 requirements
that the rules of an exchange be designed to prevent fraudulent and manipulative acts and
practices, to promote just and equitable principles of trade, to foster cooperation and
coordination with persons engaged in regulating, clearing, settling, processing information with
respect to, and facilitating transactions in securities, to remove impediments to and perfect the
mechanism of a free and open market and a national market system, and, in general, to protect
investors and the public interest. Additionally, the Exchange believes the proposed rule change
is consistent with the Section 6(b)(5)14 requirement that the rules of an exchange not be designed
to permit unfair discrimination between customers, issuers, brokers, or dealers.
In particular, the Exchange believes the proposed rule change promotes just and equitable
principles of trade by establishing a clear, objective, and transparent definition of "Data Vendor"
that properly captures the characteristics distinguishing Data Vendors from other categories of
External Distributors. The proposed definition sets forth specific, verifiable criteria — namely,
that a Data Vendor must (i) be an External Distributor; (ii) be actively engaged, as part of its
primary business objective, in the solicitation of unaffiliated third-party Distributors to
12

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

13

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

14

Id.

10

redistribute a transformed Market Data Product; (iii) not maintain a brokerage relationship with
Users; and (iv) not be an Extranet Service Provider. By establishing objective eligibility criteria,
the proposed rule change ensures that similarly situated market participants are treated
consistently and that the benefits of the Data Vendor Program are available to all External
Distributors that meet the defined qualifications.
The Exchange further believes that the codification of the existing Extranet Service
Provider definition within the Fee Schedule promotes just and equitable principles of trade.
Because the proposed Data Vendor definition directly references the term "Extranet Service
Provider," market participants seeking to understand their eligibility for the Program should not
be required to consult the Cboe Global Markets North American Data Policies to determine how
that term applies. By incorporating both defined terms into the Fee Schedule itself, the Exchange
ensures that participants have access to the complete framework.
The Exchange further believes that the proposed rule change removes impediments to
and perfects the mechanism of a free and open market and a national market system. The Data
Vendor Program is designed to incentivize Data Vendors to integrate the Applicable Feeds, make
them commercially available to subscribers, and redistribute them by providing fee waivers for
External Distribution Fees for the Cboe One Summary Feed, Cboe One Premium Feed, EDGX
Summary Depth Data Feed, and EDGX Top Data Feed. By waiving the External Distribution
Fee for Cboe One Summary for 12 months, Cboe One Premium for 24 months, EDGX Summary
Depth for 24 months, and EDGX Top for 12 months, the Exchange encourages broader
redistribution of its market data products. Broader distribution of market data enhances price
transparency and supports informed decision-making across the national market system, which in

11

turn perfects the mechanism of a free and open market by ensuring that market participants have
access to comprehensive, competitive data offerings.
By allowing the waiver to begin while an eligible Data Vendor is actively integrating the
Applicable Feed and working to make it commercially available, the Program lowers barriers to
entry during the build-out period and incentivizes a broader set of market participants to enter the
Exchange’s data distribution chain, thereby expanding the availability of market data throughout
the national market system.
The proposed rule change also protects investors and the public interest. By encouraging
Data Vendors to take in, transform, and redistribute market data feeds, the proposed program
promotes greater availability of enriched market data products to downstream Distributors and
Users. The transformation requirement — which may include aggregation across multiple
sources, normalization into a consistent format, enrichment with derived analytics, or
repackaging into a proprietary delivery mechanism such as a terminal, API, or feed — is a key
element of qualifying as a Data Vendor and ensures that meaningful value is added to the data
before redistributing it, thereby increasing the utility and accessibility of market information. To
the extent the Program achieves its purpose and results in more widespread redistribution of the
Applicable Feeds, market participants may benefit from enhanced access to consolidated realtime price, depth-of-book, top-of-book, and last sale information through the distribution
channels developed by Data Vendors.
Additionally, the codification of the existing Extranet Service Provider definition within
the Fee Schedule provides additional clarity on the program requirements and codifies the
definition that exists already in the Cboe Global Markets North American Market Data Policies.
Furthermore, the clarification that External Distributors of both Cboe One Summary and Cboe

12

One Premium are only responsible for paying the External Distribution Fee for Cboe One
Premium promotes transparency by expressly codifying a practice that is already reflected in the
Exchange’s existing application of the fee provision. This reduces potential confusion among
market participants regarding their fee obligations.
Not Unfairly Discriminatory
The Exchange believes that the proposed Data Vendor Program is consistent with and
complementary to its existing programs for other categories of market participants, and that
offering a targeted fee waiver program specifically for Data Vendors does not constitute unfair
discrimination. The Exchange has a history of establishing differentiated programs that recognize
the distinct roles of different market participants. For example, the Small Retail Broker
Distribution Program provides discounted Distribution Fees and Data Consolidation Fees for
eligible broker-dealers distributing the applicable feeds to Non-Professional Data Users with
whom the broker-dealer has a brokerage relationship.15 This program is designed to address the
specific characteristics and economic needs of small retail broker-dealers. Similarly, the Small
Retail Broker Hosted Solutions Program provides fee waivers for eligible Small Retail Brokers
that provide the applicable feeds to other Small Retail Brokers via hosted solutions.16 This
program recognizes that smaller retail brokers face unique integration challenges and cost
constraints when building out hosted data solutions. In addition, the New Internal Distributor
Waiver for the EDGX Depth Data Feed waives Internal Distribution Fees for three months for
Internal Distributors that have not received the EDGX Depth Data Feed during the prior 18
months.17 This program incentivizes new Internal Distributors to integrate the depth-of-book
15

See EDGX Equities Fee Schedule.

16

See EDGX Equities Fee Schedule.

17

Id.

13

feed into their systems. Lastly, the Exchange’s affiliated options exchange, Cboe Exchange, Inc.,
introduced a 24-month waiver for qualifying retail brokers for its Complex Order Book Feed.18
The proposed Data Vendor Program is consistent with the Exchange’s practice of
creating a distinct program to serve a specific use case. Data Vendors occupy a distinct role in
the market data distribution ecosystem. Unlike retail brokers, whose primary business is
providing trade execution and account management services to Users (with market data
distribution as an ancillary feature), Data Vendors are primarily engaged in the business of
transforming and redistributing market data to other Distributors. This fundamental difference in
business model justifies a distinct program with tailored eligibility criteria and waiver periods.
The waiver periods under the proposed Data Vendor Program — 12 months for Cboe One
Summary and EDGX Top, and 24 months for Cboe One Premium and EDGX Summary Depth
— are designed to reflect the relative complexity of integrating each feed. Depth-of-book
products such as Cboe One Premium and EDGX Summary Depth typically require more
extensive technical build-out, including handling of larger data volumes, more complex display
and aggregation logic, and more rigorous quality assurance processes. Additionally, EDGX
Summary Depth and Cboe One Premium are more expensive relative to the top-of-book feeds.
This means that Data Vendors require additional interest from clients in these products before
they can even break even. Accordingly, the Exchange believes a 24-month waiver period for
these products is appropriate to provide sufficient time for Data Vendors to complete their buildout. Top-of-book and summary products, in contrast, are generally less complex to integrate, and
the Exchange believes a 12-month waiver period is appropriate for these feeds.

18

See Securities Exchange Act Release No. 105198 (April 10, 2026), 91 FR 20204 (April 15, 2026) (SRCBOE-2026-033).

14

Data Vendors’ cost and investment trade-offs further support this distinction. A Data
Vendor’s primary commercial objective is to transform market data and make the resulting
product available to unaffiliated downstream Distributors, rather than to provide market data
only incidentally in support of another business (in comparison to retail brokers). Because a
single Data Vendor can make a Cboe data product available through its platform to multiple
downstream Distributors, the waiver is targeted to participants capable of materially expanding
the product’s distribution footprint. Like any business operator, a Data Vendor evaluates whether
to add an Applicable Feed based on expected return on investment, weighing expected revenue
against the upfront costs of connectivity, programming, technical integration, and sales and
marketing, as well as the ongoing exchange market data fees associated with making the product
available to subscribers. In many cases, a Data Vendor may need to add three to five new
downstream Distributors merely to offset the ongoing External Distribution Fee. These costs are
typically incremental: Data Vendors may already offer one or more equity feeds to clients and
add an Applicable Feed only where it is expected to provide return on investment beyond their
current offerings. A retail broker’s determination is different. A retail broker will often migrate
or swap from a competitor’s product, and may be able to implement the change through a Data
Vendor API into its front-end with a simple entitlement change, without bearing the same
upfront connectivity and technical build-out costs.
The waiver periods under the proposed Data Vendor Program are longer than certain
other Exchange programs because they support more than initial feed access or recruitment of a
first User.19 A qualifying Data Vendor must complete significant technical and commercial

19

However, as noted above, Cboe Exchange, Inc., offers a 24-month waiver for qualifying retail brokers for
its Complex Order Book Feed.

15

build-out before it can distribute the product and begin recovering its upfront costs. Its
downstream Distributors may then have their own evaluation, contracting, and integration cycles,
further extending the path to meaningful adoption; as noted above, a Data Vendor may need to
add three to five new downstream Distributors to offset the ongoing External Distribution Fee.
The Exchange does not maintain comparable fee waiver programs for larger brokerdealers that distribute market data to their brokerage customers. The Exchange believes this
distinction is appropriate. The Small Retail Broker programs are specifically designed to address
the cost constraints faced by smaller broker-dealers in building out market data distribution
capabilities. Larger broker-dealers typically have established data infrastructure and greater
resources to absorb market data distribution costs as part of their overall brokerage operations,
and, as such, their cost per user is meaningfully lower. Data distribution by large broker-dealers
is typically an ancillary component of brokerage services offered. In contrast, a Data Vendor
must incur incremental buildout fees and ongoing External Distribution Fees to establish and
support a new external redistribution channel. The relevant distinction is therefore the nature of
the service and the associated barriers to distribution, not the size or identity of the participant.
The Data Vendor Program is intended to address a different need: incentivizing
specialized data redistribution firms to build out the Applicable Feeds and bring on additional
downstream Distributors. By encouraging Data Vendors to invest in the transformation and
redistribution of the Exchange’s market data products, the Program expands the reach and
availability of this data throughout the national market system, benefiting end users and
promoting competition. The Exchange therefore believes that creating a targeted program for
Data Vendors, in addition to its existing programs for Small Retail Brokers and Internal

16

Distributors, among others, is consistent with Section 6(b)(5) of the Act and does not constitute
unfair discrimination.
The Exchange also believes the proposed rule change is consistent with Section 6(b)(5)
of the Act in that it is not designed to permit unfair discrimination between customers, issuers,
brokers, or dealers. The Data Vendor Program is available to all External Distributors that satisfy
the objective criteria set forth in the proposed definition of Data Vendor and, for waiver
eligibility, the additional objective criteria regarding the 18-month lookback for prior receipt of
the Applicable Feed and integration or active integration of the Applicable Feed for commercial
availability. The distinctions drawn by the definition — (i) requiring that a Data Vendor's
primary business objective be the solicitation of unaffiliated third-party Distributors, (ii) that it
not maintain a brokerage relationship with Users, and (iii) that it not be an Extranet Service
Provider — reflect meaningful differences in business models and market functions.
External Distributors
The Exchange believes that limiting the Data Vendor Program to External Distributors is
not unfairly discriminatory. Internal Distributors and External Distributors occupy fundamentally
different roles in the market data distribution ecosystem and are not similarly situated
participants. An Internal Distributor receives a market data product and distributes it solely
within its own entity, whereas an External Distributor redistributes data outside its entity to
Users or other Distributors — and a Data Vendor, as a specialized category of External
Distributor, further serves the specific function of soliciting unaffiliated third-party Distributors
to redistribute a transformed market data product. The Data Vendor Program is designed
precisely to incentivize and expand this type of external redistribution, a purpose that has no
meaningful application to Internal Distributors who, by definition, cannot advance the proposed

17

program's goal of broadening the reach of the Exchange's market data to downstream
Distributors and end-user investors. Furthermore, the Exchange already offers programs for its
Internal Distributors that it does not offer for External Distributors.20
Primary Business is to Redistribute to Distributors
To be eligible as a Data Vendor, an External Distributor must be taking in data for the
primary business purpose of selling access to the applicable feed as a service in its own right —
not merely redistributing data in incidental support of broader business functions such as trade
execution, account management, or brokerage services. The Exchange notes that as part of its
business, a Data Vendor may redistribute a market data product to Users, but the primary
purpose must be the redistribution of data to Distributors. The Exchange will assess whether an
External Distributor’s primary business purpose satisfies this criterion based on the External
Distributor’s publicly available marketing materials. This requirement is not unfairly
discriminatory because it is directly tied to the purpose of the Program: encouraging entities
whose core commercial activity is the transformation and redistribution of market data to build
out the Applicable Feeds and bring on additional downstream Distributors, thereby expanding
the reach and availability of the Exchange's data products. An entity that distributes market data
only incidentally — as an ancillary feature of a brokerage, execution, or account management
business — does not serve this purpose.
Transformed Market Data Product
The Exchange believes it is not unfairly discriminatory to require that a Data Vendor
transform market data as a condition of eligibility, as transformation is a definitional

20

See, e.g., EDGX Equities Fee Schedule that describes the New Internal Distributor Waiver for EDGX
Depth Data Feed.

18

characteristic that goes to the core of what distinguishes a Data Vendor from other categories of
External Distributors and is directly tied to the Program's purpose of incentivizing participants
that create new, differentiated distribution channels for the Exchange's consolidated market data.
This reasoning is directly analogous to the rationale for excluding Extranet Service Providers —
entities that transmit data without modification and therefore cannot create the type of valueadded products, whether delivered via terminal, API, or proprietary feed, that the Program is
designed to incentivize. Because the transformation requirement ensures that the Program's fee
incentives are directed only at entities whose business is built around adding that value, the
Exchange believes this criterion is reasonable and does not constitute unfair discrimination.
No Brokerage Relationship with Users
The Exchange believes it is not unfairly discriminatory to require that Data Vendors not
maintain a brokerage relationship with Users. The Exchange already maintains separate
programs specifically for qualifying broker-dealers that distribute market data to their brokerage
customers. Specifically, the Exchange offers the Small Retail Broker Distribution Program,
which provides discounted Distribution Fees and Data Consolidation Fees for eligible brokerdealers distributing the applicable feeds to Non-Professional Data Users with whom the brokerdealer has a brokerage relationship. The Exchange also offers the Small Retail Broker Hosted
Solutions Program, which provides fee waivers and lower data costs for Small Retail Brokers
that provide the applicable feeds to other Small Retail Brokers via hosted solutions. These
existing programs are specifically designed to encourage retail brokers to distribute market data,
and the eligibility criteria for those programs reflect the characteristics of the retail brokerage
business model.

19

The proposed Data Vendor Program does not displace or reduce the benefits available to
retail brokers under those existing programs. Rather, it creates a parallel and complementary
framework for a distinct category of participants — Data Vendors — that do not maintain
brokerage relationships with Users, and whose primary business purpose is categorically
different from that of a retail broker. Just as it would not be appropriate to extend the Small
Retail Broker Program to Data Vendors, it is similarly appropriate — and not unfairly
discriminatory — not to extend the Data Vendor Program to retail brokers or other participants
that maintain brokerage relationships with their Users, whose needs are separately addressed by
the Exchange's existing programs.
Not an Extranet Service Provider
The Exchange also believes it is not unfairly discriminatory to exclude Extranet Service
Providers from the Data Vendor Program. An Extranet Service Provider, as defined, is an entity
that transmits a market data product to data recipients without modification of the content,
format, or other characteristics of the product. Extranet Service Providers do not transform,
enrich, or add value to the data they transmit — they serve as conduits, passing data through in
its original form. This is fundamentally distinct from the function of a Data Vendor, which, by
definition, must transform the Market Data Product as part of its service offering.
The Data Vendor Program is specifically premised on the value that transformation adds
to the data distribution ecosystem. By enabling Data Vendors to create differentiated products —
delivered via a terminal, API, proprietary feed, or other value-added mechanism — that appeal to
a broader range of downstream Distributors, the Program advances the Exchange's goal of
maximizing the reach and utility of its consolidated market data throughout the national market
system. Extending the Program to Extranet Service Providers, which do not perform this

20

transformative function, would undermine the Program's core purpose and would not serve the
policy goal of broadening distribution of market data products in readily accessible, value-added
formats.
The Exchange has created programs to address the distinct needs and business models of
different categories of market participants, and the proposed Data Vendor Program is a natural
extension of this approach. In addition to the Small Retail Broker programs described above, the
Exchange also offers fee waivers for eligible Internal Distributors of the EDGX Depth Data
Feed, which are intended to incentivize new Internal Distributors to integrate data feeds into their
systems. The differentiation between Data Vendors and other categories of market participants
reflects the distinct roles these entities play and the distinct incentive structures appropriate to
each and does not constitute unfair discrimination.
18-Month and Integration Requirements
The Exchange further believes it is not unfairly discriminatory to limit the Program to
Data Vendors that have not received the Applicable Feed for which they seek a waiver during the
18 months preceding the waiver application date, and that have integrated, or are actively in the
process of integrating,21 the Applicable Feed and making it commercially available to
subscribers. The 18-month limitation is designed to ensure that the fee waivers serve their
intended purpose of reducing the upfront cost barriers for new market participants. This approach
is directly consistent with the analogous frameworks the Exchange has adopted in prior programs
— including the Internal Distributor Waiver for the EDGX Depth Data Feed, which similarly
limits fee relief to distributors that have not received the relevant feed in the prior 18 months.

21

The Exchange notes that no specific step is required for this, only that Data Vendor is working to integrate
the Applicable Feed into its system.

21

The integration and commercial availability requirement is likewise reasonable because it
ensures that the waiver is directed to Data Vendors that are undertaking the build-out necessary
to distribute the Applicable Feed to subscribers, while not requiring full integration or
commercial availability before the waiver begins. The Exchange therefore believes that these
objective limitations are reasonable and appropriate, prevent the Program from operating as a
permanent subsidy for established distributors, and are not unfairly discriminatory.
The Exchange also believes the proposed rule change is consistent with Section 6(b)(4)
of the Act,22 which requires that Exchange rules provide for the equitable allocation of
reasonable dues, fees, and other charges among its Trading Permit Holders and other persons
using its facilities. The proposed fee waivers represent a reasonable and equitable allocation of
charges. The fee waivers for External Distribution Fees are limited in duration — 12 months for
Cboe One Summary, 24 months for Cboe One Premium, 24 months for EDGX Summary Depth,
and 12 months for EDGX Top — and are available only to Data Vendors that have not received
the Applicable Feed for which they seek a waiver during the 18 months preceding the waiver
application date and that have integrated, or are actively in the process of integrating, the
Applicable Feed and making it commercially available to subscribers. This time-limited structure
ensures that the waivers serve their intended purpose of incentivizing new market entry and
build-out of data feeds. The 18-month lookback requirement further ensures the equitable
allocation of fees by limiting the Program to new feeds for Data Vendors, and the integration and
commercial availability requirement ensures that the waiver is tied to actual build-out and
distribution activity. The Exchange notes that this same 18-month standard is consistent with the
requirements applied in its other fee waiver programs.

22

15 U.S.C. 78f(b)(4).

22

The clarification that External Distributors of both Cboe One Summary and Cboe One
Premium shall only be responsible for paying the External Distribution Fee for Cboe One
Premium does not alter the economic substance of the Exchange's existing fee structure and does
not impose any new or increased fees on market participants. Rather, it expressly codifies the
Exchange’s existing application of the user fee offset provisions — under which an External
Distributor disseminating both products is assessed only the Cboe One Premium External
Distribution Fee — thereby ensuring that all market participants have a clear and equitable
understanding of their fee obligations. The Exchange therefore believes the proposed rule change
provides for the equitable allocation of reasonable fees among persons using its facilities.
Lastly, the Exchange believes that the limitations regarding the waiver structure for both
Cboe One Premium and Cboe One Summary equitably allocate fees. With respect to the Cboe
One Summary waiver, only Data Vendors that (i) have not received Cboe One Summary during
the 18 months preceding the waiver application date, (ii) are integrating or actively in the process
of integrating Cboe One Summary and making it commercially available to subscribers, and (iii)
are not receiving Cboe One Premium are eligible for the Summary Waiver Period. The Exchange
believes that this is reasonable, as a firm that subscribes to Cboe One Premium already may elect
to receive (without incurring an additional External Distribution Fee) Cboe One Summary Feed.
For this reason, there is no need to provide a separate Summary Waiver Period while a firm
receives Cboe One Premium, because that firm may receive the Cboe One Summary Feed
without paying an additional External Distribution Fee that the proposed program seeks to waive.
Next, the Exchange notes that if a Data Vendor currently receives Cboe One Summary
and elects to receive Cboe One Premium under the proposed program, so long as the Data
Vendor has not received the Cboe One Premium Feed during the 18 months preceding the

23

waiver application date and satisfies the integration and commercial availability requirement
with respect to Cboe One Premium, the Data Vendor may receive the Premium Waiver Period.
During that period, the Data Vendor’s existing Cboe One Summary23 subscription will be
covered under the Premium Waiver, and no separate External Distribution Fee will be assessed
for Cboe One Summary. This is because the Cboe One Summary External Distribution Fee is
subsumed within the Cboe One Premium External Distribution Fee — accordingly, there is no
separate Cboe One Summary fee to waive for a firm receiving Cboe One Premium. The
Exchange believes this treatment is reasonable because it avoids providing overlapping or
duplicative waiver relief while still incentivizing an existing Summary subscriber to build out
Cboe One Premium.
Lastly, if a Data Vendor has not received either Cboe One Summary or Cboe One
Premium during the 18 months preceding the waiver application date and elects to build out both
Cboe One feeds simultaneously, the Data Vendor will not receive separate Summary and
Premium waivers. Instead, because the Cboe One Summary External Distribution Fee is
subsumed within the Cboe One Premium External Distribution Fee, the Data Vendor will receive
only the Premium Waiver Period, and no separate Summary Waiver Period will apply while it
receives Cboe One Premium.
With respect to EDGX Summary Depth and EDGX Top, the Exchange believes that the
applicable waiver periods also equitably allocate fees. The 24-month Summary Depth Waiver
Period is reasonable because integrating a depth-of-book product may require a more substantial

23

For example, if a Data Vendor currently subscribes to Cboe One Summary Feed and is eligible for the
proposed program for the Cboe One Premium Feed, no separate External Distribution Fee would be
assessed for Cboe One Summary during the Premium Waiver Period because Cboe One Summary is
included in the Cboe One Premium subscription. The Data Vendor would receive the Premium Waiver
Period and would not receive a separate Summary Waiver Period during that time.

24

build-out by a Data Vendor, while the 12-month Top Waiver Period is reasonable because
EDGX Top provides top-of-book and last sale information and generally should require a less
extensive integration effort. In each case, the waiver is available only if the Data Vendor satisfies
the 18-month lookback and integration or active-integration requirements for the applicable feed.
For all of the foregoing reasons, the Exchange believes the proposed rule change is
consistent with the Act and the rules and regulations thereunder, including, in particular, the
requirements of Sections 6(b)(4) 24 and 6(b)(5) 25 of the Act.
B.

Self-Regulatory Organization’s Statement on Burden on Competition

The Exchange does not believe that the proposed rule change will impose any burden on
competition that is not necessary or appropriate in furtherance of the purposes of the Act. The
Exchange does not believe the proposed rule change imposes any burden on intramarket
competition that is not necessary or appropriate in furtherance of the purposes of the Act. The
proposed Data Vendor Program is available to all External Distributors that satisfy the objective,
clearly defined criteria set forth in the proposed definition of "Data Vendor” and the Program’s
waiver eligibility standards. Any External Distributor that, as part of its primary business
objective, solicits unaffiliated third-party Distributors to redistribute a transformed Market Data
Product, does not maintain a brokerage relationship with Users in connection with the applicable
Market Data Product, is not an Extranet Service Provider, has not received the Applicable Feed
for which it seeks a waiver during the 18 months preceding the waiver application date, and has
integrated or is actively integrating the Applicable Feed and making it commercially available to
subscribers may qualify for the Program on equal terms. Because eligibility is determined by

24

15 U.S.C. 78f(b)(4).

25

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

25

objective, verifiable criteria rather than by subjective or discretionary determinations, no
External Distributor is advantaged or disadvantaged relative to any other similarly situated
participant.
To the extent that certain External Distributors — such as retail broker-dealers or
Extranet Service Providers — do not qualify for the Data Vendor Program, this does not impose
a burden on intramarket competition. As described above, retail broker-dealers and Extranet
Service Providers are not similarly situated to Data Vendors. Retail broker-dealers distribute
market data to their own brokerage customers as an ancillary feature of their core business of
providing trade execution and account management services, and their data distribution needs are
more appropriately addressed by the Exchange's existing Small Retail Broker Distribution
Program and Small Retail Broker Hosted Solutions Program. Extranet Service Providers, by
contrast, transmit data in its original form without transformation, and therefore do not serve the
same function in the data distribution ecosystem as Data Vendors, which aggregate, transform,
and redistribute data to downstream Distributors. Designing a fee program specifically targeted
to Data Vendors, rather than applying it uniformly across all categories of External Distributors,
does not burden intramarket competition — it reflects the materially different roles, business
models, and barriers of these distinct categories of participants.
Similarly, limiting the Data Vendor Program to External Distributors and not extending it
to Internal Distributors does not impose a burden on intramarket competition. Internal
Distributors receive and use market data solely within their own legal entities and do not
redistribute data to third parties outside their organizations. They are therefore not participants in
the same competitive market for external data redistribution that the Program is designed to
promote, and their needs are separately addressed through the Exchange's existing Internal

26

Distributor programs — including the New Internal Distributor Waiver for the EDGX Depth
Data Feed. The proposed Program is specifically designed to incentivize external redistribution
of the Applicable Feeds, a purpose that has no meaningful application to Internal Distributors
and that creates no competitive disadvantage for them.
The Exchange does not believe the proposed rule change imposes any burden on
intermarket competition that is not necessary or appropriate in furtherance of the purposes of the
Act. To the contrary, the Exchange believes the proposed rule change will enhance intermarket
competition by incentivizing a broader class of market participants to subscribe to and
redistribute the Exchange's market data products, thereby increasing the Exchange's ability to
compete with other national securities exchanges and data vendors for the business of Data
Vendors and their downstream Distributor clients.
The market for equity market data is highly competitive. Numerous national securities
exchanges offer products that compete directly with the Cboe One Summary Feed, Cboe One
Premium Feed, EDGX Summary Depth Data Feed, and EDGX Top Data Feed. Market
participants can obtain comprehensive market data from numerous sources, including competing
exchanges (such as NYSE and Nasdaq), the consolidated tape (SIP), and alternative trading
systems. Prospective Data Vendors evaluating whether to build out the Applicable Feeds must
weigh the upfront costs of connectivity, software development, integration, and commercial
launch against the commercial opportunity presented by the Exchange's data products. The Data
Vendor Program is designed to make the Exchange's market data offering competitively priced
relative to alternative options, encouraging Data Vendors to enter the Exchange’s data
distribution chain and thereby expanding the availability and reach of the Exchange's market data
throughout the national market system.

27

Far from burdening intermarket competition, the proposed rule change is a direct
response to competitive market forces. The Exchange's decision to offer targeted fee waivers to
new Data Vendors reflects its recognition that it must compete aggressively for the participation
of data redistribution firms, and that reducing the upfront cost of entry is a legitimate and
necessary competitive tool in the market for exchange data products. The Commission has
recognized that exchanges operate in a competitive environment with respect to market data, and
that exchange fee programs designed to attract new participants and expand market data
distribution are consistent with the Act's goals of promoting competition and efficiency in the
national market system.
The proposed clarification that External Distributors of both Cboe One Summary and
Cboe One Premium are only responsible for paying the External Distribution Fee for Cboe One
Premium similarly does not impose any burden on intermarket competition. This change does
not alter the economic substance of the Exchange's existing fee structure and does not impose
any new fees on any market participant. It simply makes explicit the Exchange’s existing
application of the user fee offset provisions, reducing potential confusion and ensuring that all
market participants have a clear and consistent understanding of their fee obligations. Regulatory
clarity of this nature promotes, rather than burdens, competition by enabling market participants
to make fully informed decisions about their participation in the Exchange's market data
programs.
With respect to the Cboe One Summary and Cboe One Premium feeds specifically, the
Exchange notes that the proposed Data Vendor Program does not impose any burden on
competition arising from differential pricing between Cboe One and the applicable underlying

28

equities feeds.26 The Exchange notes that historically, its pricing for Cboe One products has been
based on the sum of the External Distribution Fees for the four underlying equities feeds. 27 As
an initial matter, not all underlying equities feeds are offered under this Program. The proposed
Data Vendor Program applies only to the following feeds: EDGX Top, EDGX Summary Depth,
BZX Summary Depth, Cboe One Premium, and Cboe One Summary. A Data Vendor may
choose to receive a waiver for Cboe One Summary or Cboe One Premium, or for EDGX Top, or
for EDGX Summary Depth, or for BZX Summary Depth, or any combination thereof, subject to
the applicable eligibility requirements. However, the proposed Program does not offer fee
waivers for BZX Top, BYX Top, or EDGA Top data feeds, nor does it offer fee waivers for
BYX Summary Depth or EDGA Summary Depth. Accordingly, the applicable underlying
equities feeds do not “sum” to the applicable Cboe One feed under this proposed Program.28
The Exchange has selected the products covered by the Program based on where it sees
the greatest opportunity to expand distribution and align Data Vendor coverage with downstream
end-user demand. This product-specific focus is not unfairly discriminatory. All qualifying Data
Vendors are subject to the same product-specific eligibility requirements, and offering waivers

26

For Cboe One Summary, the four equities feeds are BZX Top, BYX Top, EDGA Top, and EDGX Top. For
Cboe One Premium, the four equities feeds are BZX Summary Depth, BYX Summary Depth, EDGA
Summary Depth, and EDGX Summary Depth.

27

For example, under the Small Retail Broker Distribution Program, the discounted External Distribution Fee
for Cboe One Summary is $3,500 per month, which equals the sum of the External Distribution Fees for
the four underlying Top feeds: BZX Top ($2,500), BYX Top ($250), EDGA Top ($0), and EDGX Top
($750). See Cboe BZX, BYX, EDGA, and EDGX U.S. Equities Exchange Fee Schedules. Because the
proposed Data Vendor Program does not offer fee waivers for BZX Top, BYX Top, EDGA Top, BYX
Summary Depth, or EDGA Summary Depth, the External Distribution Fee for each of those feeds would
remain in effect for any Data Vendor receiving those feeds, while the External Distribution Fee for Cboe
One Summary ($0 during the Summary Waiver Period) or Cboe One Premium ($0 during the Premium
Waiver Period) would be waived. This results in a pricing differential between the sum of the underlying
equities feeds and the Cboe One feeds under this Program.

28

For example, the External Distribution Fee is $0 for Cboe One Summary under the proposed Program, but
the sum of the four underlying equities feeds under the proposed Program is $2,750 ($0 EDGX Top +
$2,500 BZX Top + $250 BYX Top + $0 EDGA Top).

29

for some, rather than all four, of the underlying feeds does not result in unequal treatment among
similarly situated participants.
Even setting aside the foregoing, the Exchange does not believe that pricing the Cboe
One Summary or Cboe One Premium feeds differently from the underlying equities feeds
imposes any burden on competition. To date, the Exchange is not aware of any distributor that
purchases the underlying equities feeds (either the Top or Summary Depth Feeds) for the
purpose of creating its own consolidated product comparable to Cboe One Summary or Cboe
One Premium. This demonstrates that the practical market concern underlying any perceived
burden — that distributors might be disadvantaged by differential pricing on Cboe One that is
not extended to the underlying feeds — does not correspond to actual market behavior.
Moreover, Cboe One Summary and Cboe One Premium are distinct, independent data
products — they are not merely consolidations of data from the four underlying equities feeds. In
addition to consolidating data from BZX, BYX, EDGX, and EDGA, Cboe One Summary
includes supplementary data elements not found in the individual underlying feeds, including
data derived from the Securities Information Processor (“SIP”) containing information on the
national cumulative volume. This additional content makes Cboe One a distinct product with
independent utility. Market participants subscribe to the underlying equities feeds and Cboe One
for fundamentally different purposes. For example, a subscriber may be interested only in top-ofbook data from a single exchange, such as EDGX, for trading, routing or compliance purposes.
Such a subscriber has no need for a consolidated product. Conversely, subscribers seeking a
comprehensive, cross-exchange view of Cboe liquidity choose Cboe One precisely because it
offers consolidated data with additional enhancements. These distinct use cases support
differentiated pricing treatment.

30

Data Vendors may, in theory, choose to purchase each of the four underlying equities
feeds and create their own consolidated product. However, the $1,000 monthly Data
Consolidation Fee associated with purchasing Cboe One (and the primary pricing differential)
provides access to a production-ready, supported consolidated product, and a vendor seeking to
create a comparable offering independently would bear not only the applicable source-feed, but
also the costs of developing and maintaining multiple feed handlers, normalizing the data,
applying aggregation logic, performing quality assurance, supporting specification changes, and
monitoring production feed health. Clients also generally prefer an official exchange product,
such as Cboe One, over a vendor-derived consolidated product that requires reporting across
multiple exchange products. From a user-experience perspective, the exchange-provided Cboe
One is therefore a better solution. A simple combination of the four underlying feeds also would
not recreate all Cboe One content, including supplementary SIP-derived information. The
Exchange therefore believes that the $1,000 monthly Data Consolidation Fee is less than the full
economic cost of independently creating and maintaining a comparable product, particularly for
a vendor that does not already operate the required infrastructure.
Section 6(b)(8) of the Exchange Act requires that exchange rules not impose any burden
on competition that is not necessary or appropriate in furtherance of the purposes of the Act.
Cboe One Summary, Cboe One Premium, and the applicable underlying equities feeds are
separate products serving different market needs. Just as the Commission has permitted
exchanges to offer different fees for depth-of-book data versus top-of-book data, the Exchange
should have discretion to price its consolidated summary product differently from its component
feeds.

31

Finally, the proposed Data Vendor Program is pro-competitive. By reducing the cost of
consolidated and top-of-book data products for qualifying Data Vendors, the Exchange enables
broader distribution of comprehensive market information to downstream distributors and,
ultimately, to retail and institutional investors. Wider access to market data promotes informed
investment decisions, enhances market efficiency, and supports the Exchange Act’s goals of
investor protection and fair and efficient markets. The Exchange does not view external
distributors as competitors for its real-time feed offerings; rather, distributors serve as essential
conduits that expand delivery of Cboe real-time market data to end users who do not have the
technical capability or commercial need to connect directly to Cboe’s individual market data
feeds. This is particularly important for the retail community, as retail investors typically access
market data through vendors rather than purchasing it directly from exchanges. By offering the
proposed Data Vendor Program, the Exchange enables distributors to deliver competitively
priced, comprehensive market data to a broader audience, thereby enhancing — not burdening
— competition in the market data landscape.
For the foregoing reasons, the Exchange does not believe that the proposed rule change
imposes any burden on competition that is not necessary or appropriate in furtherance of the
purposes of the Act.
C.

Self-Regulatory Organization’s Statement on Comments on the Proposed Rule
Change Received from Members, Participants, or Others

The Exchange neither solicited nor received comments on the proposed rule change.

32

III.

Date of Effectiveness of the Proposed Rule Change and Timing for Commission
Action
The foregoing rule change has become effective pursuant to Section 19(b)(3)(A) of the

Act29 and paragraph (f) of Rule 19b-430 thereunder. 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 will 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
(https://www.sec.gov/rules/sro.shtml); or

•

Send an email to rule-comments@sec.gov. Please include file number
SR-CboeEDGX-2026-060 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.

29

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

30

17 CFR 240.19b-4(f).

33

All submissions should refer to file number SR- CboeEDGX-2026-060. 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 (https://www.sec.gov/rules/sro.shtml).
Copies of the filing will be available for inspection and copying at the principal office of the
Exchange. Do not include personal identifiable information in submissions; you should submit
only information that you wish to make available publicly. We may redact in part or withhold
entirely from publication submitted material that is obscene or subject to copyright protection.
All submissions should refer to file number SR- CboeEDGX-2026-060 and should be submitted
on or before [INSERT DATE 21 DAYS AFTER DATE OF PUBLICATION IN THE FEDERAL
REGISTER].
For the Commission, by the Division of Trading and Markets, pursuant to delegated
authority.31

Sherry R. Haywood,
Assistant Secretary.

31

17 CFR 200.30-3(a)(12).

34

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Source: Frix Law Library, https://www.frixlaw.com/law-library/documents/agency%3Asec%3A08e5d6d2715927bf. Public record. Not legal advice.