Self-Regulatory Organizations; Nasdaq Stock Market LLC; Order Instituting Proceedings To Determine Whether To Approve or Disapprove a Proposed Rule Change To List and Trade Shares of the Canary Litecoin ETF Under Nasdaq Rule 5711(d) (Commodity-Based Trust Shares), 19772-19773 [2025-08118]
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<![CDATA[
lotter on DSK11XQN23PROD with NOTICES1
19772
Federal Register / Vol. 90, No. 89 / Friday, May 9, 2025 / Notices
the Commission and any registered
national securities association of which
it becomes a member; and (4) provide
the Commission with an opinion of
counsel and certify on Schedule C on
Form Funding Portal that the firm can,
as a matter of law, provide the
Commission and registered national
securities association of which it
becomes a member with prompt access
to its books and records and can, as a
matter of law, submit to onsite
inspection and examination by the
Commission and any registered national
securities association of which it
becomes a member.2
Rule 403(a) requires a funding portal
to implement written policies and
procedures reasonably designed to
achieve compliance with the federal
securities laws and the rules and
regulations thereunder relating to its
business as a funding portal. Rule 403(b)
provides that a funding portal must
comply with privacy rules. Rule 404
requires all registered funding portals to
maintain certain books and records
relating to their funding portal
activities, for not less than five years,
the first two in an easily accessible
place. Rule 404(e) requires funding
portals to furnish promptly to the
Commission, its representatives, and the
registered national securities association
of which the funding portal is a member
true, correct, complete and current
copies of such records of the funding
portal that are requested by the
representatives of the Commission and
the registered national securities
association.
The Commission staff estimates that
the annual industry time burden to
comply with Rules 400–404 is
approximately 36,315 hours per year.
The Commission staff estimates that the
annual industry cost burden to comply
with Rules 400–404 is approximately
$618,293 per year.
An agency may not conduct or
sponsor, and a person is not required to
respond to, a collection of information
unless it displays a currently valid OMB
Control Number.
Written comments are invited on: (a)
whether this collection of information is
necessary for the proper performance of
the functions of the agency, including
whether the information will have
practical utility; (b) the accuracy of the
agency’s estimate of the burden imposed
by the collection of information; (c)
ways to enhance the quality, utility, and
clarity of the information collected; and
2 Exchange Act Section 3(h)(1)(C) permits us to
impose, as part of our authority to exempt funding
portals from broker registration, ‘‘such other
requirements under [the Exchange Act] as the
Commission determines appropriate.’’
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17:11 May 08, 2025
Jkt 265001
(d) ways to minimize the burden of the
collection of information on
respondents, including through the use
of automated collection techniques or
other forms of information technology.
The public may view and comment
on this information collection request
at: https://www.reginfo.gov/public/do/
PRAViewICR?ref_nbr=202412-3235-002
or send an email comment to
MBX.OMB.OIRA.SEC_desk_officer@
omb.eop.gov within 30 days of the day
after publication of this notice by June
9, 2025.
Dated: May 5, 2025.
Sherry R. Haywood,
Assistant Secretary.
[FR Doc. 2025–08122 Filed 5–8–25; 8:45 am]
BILLING CODE 8011–01–P
SECURITIES AND EXCHANGE
COMMISSION
[Release No. 34–102988; File No. SR–
NASDAQ–2025–005]
Self-Regulatory Organizations; Nasdaq
Stock Market LLC; Order Instituting
Proceedings To Determine Whether To
Approve or Disapprove a Proposed
Rule Change To List and Trade Shares
of the Canary Litecoin ETF Under
Nasdaq Rule 5711(d) (CommodityBased Trust Shares)
May 5, 2025.
I. Introduction
On January 15, 2025, The Nasdaq
Stock Market LLC (‘‘Nasdaq’’) 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 shares
(‘‘Shares’’) of the Canary Litecoin ETF
(‘‘Trust’’) under Nasdaq Rule 5711(d).
The proposed rule change was
published for comment in the Federal
Register on February 4, 2025.3
On March 11, 2025, 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 This order
1 15
U.S.C. 78s(b)(1).
CFR 240.19b–4.
3 See Securities Exchange Act Release No. 102303
(Jan. 29, 2025), 90 FR 8949 (‘‘Notice’’). Comments
received on the proposed rule change are available
at: https://www.sec.gov/comments/sr-nasdaq-2025005/srnasdaq2025005.htm.
4 15 U.S.C. 78s(b)(2).
5 See Securities Exchange Act Release No.
102585, 90 FR 12384 (Mar. 17, 2025). The
2 17
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Frm 00105
Fmt 4703
Sfmt 4703
institutes proceedings under Section
19(b)(2)(B) of the Act 6 to determine
whether to approve or disapprove the
proposed rule change.
II. Summary of the Proposal
As described in more detail in the
Notice,7 the Exchange proposes to list
and trade the Shares of the Trust under
Nasdaq Rule 5711(d), which governs the
listing and trading of Commodity-Based
Trust Shares on the Exchange.
According to the Exchange, the
investment objective of the Trust is for
the Shares to seek to track the
performance of Litecoin (‘‘LTC’’),8 as
measured by the CoinDesk Litecoin
Price Index (LTX)(‘‘Index’’), adjusted for
the Trust’s expenses and other
liabilities.9 In seeking to achieve its
investment objective, the Trust will
hold LTC and will value its Shares daily
as of 4:00 p.m. Eastern time (‘‘ET’’)
using the same methodology used to
calculate the Index.10 The Trust’s assets
will consist only of LTC and cash.11
When the Trust sells or redeems its
Shares, it will do so in cash transactions
with authorized participants in blocks
of 10,000 Shares.12
III. Proceedings To Determine Whether
To Approve or Disapprove SR–
NASDAQ–2025–005 and Grounds for
Disapproval Under Consideration
The Commission is instituting
proceedings pursuant to Section
19(b)(2)(B) of the Act 13 to determine
whether the proposed rule change
should be approved or disapproved.
Institution of proceedings is appropriate
at this time in view of the legal and
policy issues raised by the proposed
rule change. Institution of proceedings
Commission designated May 5, 2025, as the date by
which the Commission shall approve or disapprove,
or institute proceedings to determine whether to
disapprove, the proposed rule change.
6 15 U.S.C. 78s(b)(2)(B).
7 See Notice, supra note 3.
8 The Exchange states that LTC is a digital asset
that is created and transmitted through the
operations of the peer-to-peer, decentralized
network of computers that operates on
cryptographic protocols, known as the Litecoin
Network. See id. at 8950.
9 See id. Canary Capital Group LLC is the sponsor
of the Trust and CSC Delaware Trust Company is
the trustee of the Trust. BitGo Trust Company, Inc.
and Coinbase Custody Trust Company, LLC will be
responsible for the custody of the Trust’s LTC. U.S.
Bancorp Fund Services, LLC will be the
administrator of the Trust. See id. at 8949–50.
10 See id. at 8950. The Index is calculated by
applying a weighting algorithm to the price and
trading volume data for the immediately preceding
24-hour period as of 4:00 p.m., New York time,
derived from the selected digital asset trading
platforms. CoinDesk Indices, Inc. publishes the
Index. See id. at 8951.
11 See id. at 8950.
12 See id.
13 15 U.S.C. 78s(b)(2)(B).
E:\FR\FM\09MYN1.SGM
09MYN1
Federal Register / Vol. 90, No. 89 / Friday, May 9, 2025 / Notices
does not indicate that the Commission
has reached any conclusions with
respect to any of the issues involved.
Rather, the Commission seeks and
encourages interested persons to
provide comments on the proposed rule
change.
Pursuant to Section 19(b)(2)(B) of the
Act,14 the Commission is providing
notice of the grounds for disapproval
under consideration. The Commission is
instituting 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’’ and
‘‘to protect investors and the public
interest.’’ 15
The Commission asks that
commenters address the sufficiency of
the Exchange’s statements in support of
the proposal, which are set forth in the
Notice, in addition to any other
comments they may wish to submit
about the proposed rule change. In
particular, the Commission seeks
comment on whether the proposal to list
and trade Shares of the Trust, which
would hold LTC, is designed to prevent
fraudulent and manipulative acts and
practices or raises any new or novel
concerns not previously contemplated
by the Commission.
lotter on DSK11XQN23PROD with NOTICES1
IV. Procedure: Request for Written
Comments
The Commission requests that
interested persons provide written
submissions of their views, data, and
arguments with respect to the issues
identified above, as well as any other
concerns they may have with the
proposal. In particular, the Commission
invites the written views of interested
persons concerning whether the
proposal is consistent with Section
6(b)(5) or any other provision of the Act,
and the rules and regulations
thereunder. Although there do not
appear to be any issues relevant to
approval or disapproval that would be
facilitated by an oral presentation of
views, data, and arguments, the
Commission will consider, pursuant to
Rule 19b–4, any request for an
opportunity to make an oral
presentation.16
14 Id.
15 15
U.S.C. 78f(b)(5).
19(b)(2) of the Act, as amended by the
Securities Acts Amendments of 1975, Public Law
94–29 (June 4, 1975), grants the Commission
flexibility to determine what type of proceeding—
either oral or notice and opportunity for written
comments—is appropriate for consideration of a
particular proposal by a self-regulatory
16 Section
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17:11 May 08, 2025
Jkt 265001
Interested persons are invited to
submit written data, views, and
arguments regarding whether the
proposed rule change should be
approved or disapproved by May 30,
2025. Any person who wishes to file a
rebuttal to any other person’s
submission must file that rebuttal by
June 13, 2025.
Comments may be submitted by any
of the following methods:
19773
submitted on or before May 30, 2025.
Rebuttal comments should be submitted
by June 13, 2025.
For the Commission, by the Division of
Trading and Markets, pursuant to delegated
authority.17
Sherry R. Haywood,
Assistant Secretary.
[FR Doc. 2025–08118 Filed 5–8–25; 8:45 am]
BILLING CODE 8011–01–P
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–
NASDAQ–2025–005 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.
All submissions should refer to file
number SR–NASDAQ–2025–005. 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
submission, all subsequent
amendments, all written statements
with respect to the proposed rule
change that are filed with the
Commission, and all written
communications relating to the
proposed rule change between the
Commission and any person, other than
those that may be withheld from the
public in accordance with the
provisions of 5 U.S.C. 552, will be
available for website viewing and
printing in the Commission’s Public
Reference Room, 100 F Street NE,
Washington, DC 20549, on official
business days between the hours of 10
a.m. and 3 p.m. Copies of the filing also
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–NASDAQ–2025–005 and should be
organization. See Securities Acts Amendments of
1975, Senate Comm. on Banking, Housing & Urban
Affairs, S. Rep. No. 75, 94th Cong., 1st Sess. 30
(1975).
PO 00000
Frm 00106
Fmt 4703
Sfmt 4703
DEPARTMENT OF STATE
[Public Notice 12726]
60-Day Notice of Proposed Information
Collection: Foreign Diplomatic
Services Application
Notice of request for public
comment.
ACTION:
The Department of State is
seeking Office of Management and
Budget (OMB) approval for the
information collection described below.
In accordance with the Paperwork
Reduction Act of 1995, we are
requesting comments on this collection
from all interested individuals and
organizations. The purpose of this
notice is to allow 60 days for public
comment preceding submission of the
collection to OMB.
DATES: The Department will accept
comments from the public up to July 8,
2025.
ADDRESSES: You may submit comments
by any of the following methods:
• Web: Persons with access to the
internet may comment on this notice by
going to www.Regulations.gov. You can
search for the document by entering
‘‘Docket Number: DOS–2025–0006’’ in
the Search field. Then click the
‘‘Comment Now’’ button and complete
the comment form.
• Email: OFM-EX@groups.state.gov.
• Regular Mail: Send written
comments to: Office of Foreign
Missions, Office of the Executive
Director, 3507 International Place NW,
Washington, DC 20008.
You must include the DS form
number (if applicable), information
collection title, and the OMB control
number in any correspondence.
FOR FURTHER INFORMATION CONTACT:
Direct requests for additional
information regarding the collection
listed in this notice, including requests
for copies of the proposed collection
instrument and supporting documents,
to Adriana Spain, Office of Foreign
Missions, Office of the Executive
SUMMARY:
17 17
E:\FR\FM\09MYN1.SGM
CFR 200.30–3(a)(57).
09MYN1
]]>Agencies
[Federal Register Volume 90, Number 89 (Friday, May 9, 2025)]
[Notices]
[Pages 19772-19773]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 2025-08118]
-----------------------------------------------------------------------
SECURITIES AND EXCHANGE COMMISSION
[Release No. 34-102988; File No. SR-NASDAQ-2025-005]
Self-Regulatory Organizations; Nasdaq Stock Market LLC; Order
Instituting Proceedings To Determine Whether To Approve or Disapprove a
Proposed Rule Change To List and Trade Shares of the Canary Litecoin
ETF Under Nasdaq Rule 5711(d) (Commodity-Based Trust Shares)
May 5, 2025.
I. Introduction
On January 15, 2025, The Nasdaq Stock Market LLC (``Nasdaq'') 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 shares (``Shares'') of the Canary Litecoin ETF (``Trust'') under
Nasdaq Rule 5711(d). The proposed rule change was published for comment
in the Federal Register on February 4, 2025.\3\
---------------------------------------------------------------------------
\1\ 15 U.S.C. 78s(b)(1).
\2\ 17 CFR 240.19b-4.
\3\ See Securities Exchange Act Release No. 102303 (Jan. 29,
2025), 90 FR 8949 (``Notice''). Comments received on the proposed
rule change are available at: https://www.sec.gov/comments/sr-nasdaq-2025-005/srnasdaq2025005.htm.
---------------------------------------------------------------------------
On March 11, 2025, 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\ This order institutes proceedings under Section 19(b)(2)(B)
of the Act \6\ to determine whether to approve or disapprove the
proposed rule change.
---------------------------------------------------------------------------
\4\ 15 U.S.C. 78s(b)(2).
\5\ See Securities Exchange Act Release No. 102585, 90 FR 12384
(Mar. 17, 2025). The Commission designated May 5, 2025, as the date
by which the Commission shall approve or disapprove, or institute
proceedings to determine whether to disapprove, the proposed rule
change.
\6\ 15 U.S.C. 78s(b)(2)(B).
---------------------------------------------------------------------------
II. Summary of the Proposal
As described in more detail in the Notice,\7\ the Exchange proposes
to list and trade the Shares of the Trust under Nasdaq Rule 5711(d),
which governs the listing and trading of Commodity-Based Trust Shares
on the Exchange.
---------------------------------------------------------------------------
\7\ See Notice, supra note 3.
---------------------------------------------------------------------------
According to the Exchange, the investment objective of the Trust is
for the Shares to seek to track the performance of Litecoin
(``LTC''),\8\ as measured by the CoinDesk Litecoin Price Index
(LTX)(``Index''), adjusted for the Trust's expenses and other
liabilities.\9\ In seeking to achieve its investment objective, the
Trust will hold LTC and will value its Shares daily as of 4:00 p.m.
Eastern time (``ET'') using the same methodology used to calculate the
Index.\10\ The Trust's assets will consist only of LTC and cash.\11\
When the Trust sells or redeems its Shares, it will do so in cash
transactions with authorized participants in blocks of 10,000
Shares.\12\
---------------------------------------------------------------------------
\8\ The Exchange states that LTC is a digital asset that is
created and transmitted through the operations of the peer-to-peer,
decentralized network of computers that operates on cryptographic
protocols, known as the Litecoin Network. See id. at 8950.
\9\ See id. Canary Capital Group LLC is the sponsor of the Trust
and CSC Delaware Trust Company is the trustee of the Trust. BitGo
Trust Company, Inc. and Coinbase Custody Trust Company, LLC will be
responsible for the custody of the Trust's LTC. U.S. Bancorp Fund
Services, LLC will be the administrator of the Trust. See id. at
8949-50.
\10\ See id. at 8950. The Index is calculated by applying a
weighting algorithm to the price and trading volume data for the
immediately preceding 24-hour period as of 4:00 p.m., New York time,
derived from the selected digital asset trading platforms. CoinDesk
Indices, Inc. publishes the Index. See id. at 8951.
\11\ See id. at 8950.
\12\ See id.
---------------------------------------------------------------------------
III. Proceedings To Determine Whether To Approve or Disapprove SR-
NASDAQ-2025-005 and Grounds for Disapproval Under Consideration
The Commission is instituting proceedings pursuant to Section
19(b)(2)(B) of the Act \13\ to determine whether the proposed rule
change should be approved or disapproved. Institution of proceedings is
appropriate at this time in view of the legal and policy issues raised
by the proposed rule change. Institution of proceedings
[[Page 19773]]
does not indicate that the Commission has reached any conclusions with
respect to any of the issues involved. Rather, the Commission seeks and
encourages interested persons to provide comments on the proposed rule
change.
---------------------------------------------------------------------------
\13\ 15 U.S.C. 78s(b)(2)(B).
---------------------------------------------------------------------------
Pursuant to Section 19(b)(2)(B) of the Act,\14\ the Commission is
providing notice of the grounds for disapproval under consideration.
The Commission is instituting 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'' and ``to protect investors and the
public interest.'' \15\
---------------------------------------------------------------------------
\14\ Id.
\15\ 15 U.S.C. 78f(b)(5).
---------------------------------------------------------------------------
The Commission asks that commenters address the sufficiency of the
Exchange's statements in support of the proposal, which are set forth
in the Notice, in addition to any other comments they may wish to
submit about the proposed rule change. In particular, the Commission
seeks comment on whether the proposal to list and trade Shares of the
Trust, which would hold LTC, is designed to prevent fraudulent and
manipulative acts and practices or raises any new or novel concerns not
previously contemplated by the Commission.
IV. Procedure: Request for Written Comments
The Commission requests that interested persons provide written
submissions of their views, data, and arguments with respect to the
issues identified above, as well as any other concerns they may have
with the proposal. In particular, the Commission invites the written
views of interested persons concerning whether the proposal is
consistent with Section 6(b)(5) or any other provision of the Act, and
the rules and regulations thereunder. Although there do not appear to
be any issues relevant to approval or disapproval that would be
facilitated by an oral presentation of views, data, and arguments, the
Commission will consider, pursuant to Rule 19b-4, any request for an
opportunity to make an oral presentation.\16\
---------------------------------------------------------------------------
\16\ Section 19(b)(2) of the Act, as amended by the Securities
Acts Amendments of 1975, Public Law 94-29 (June 4, 1975), grants the
Commission flexibility to determine what type of proceeding--either
oral or notice and opportunity for written comments--is appropriate
for consideration of a particular proposal by a self-regulatory
organization. See Securities Acts Amendments of 1975, Senate Comm.
on Banking, Housing & Urban Affairs, S. Rep. No. 75, 94th Cong., 1st
Sess. 30 (1975).
---------------------------------------------------------------------------
Interested persons are invited to submit written data, views, and
arguments regarding whether the proposed rule change should be approved
or disapproved by May 30, 2025. Any person who wishes to file a
rebuttal to any other person's submission must file that rebuttal by
June 13, 2025.
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 [email protected]. Please include
file number SR-NASDAQ-2025-005 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.
All submissions should refer to file number SR-NASDAQ-2025-005. 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 submission, all subsequent amendments, all
written statements with respect to the proposed rule change that are
filed with the Commission, and all written communications relating to
the proposed rule change between the Commission and any person, other
than those that may be withheld from the public in accordance with the
provisions of 5 U.S.C. 552, will be available for website viewing and
printing in the Commission's Public Reference Room, 100 F Street NE,
Washington, DC 20549, on official business days between the hours of 10
a.m. and 3 p.m. Copies of the filing also 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-NASDAQ-2025-005 and should
be submitted on or before May 30, 2025. Rebuttal comments should be
submitted by June 13, 2025.
For the Commission, by the Division of Trading and Markets,
pursuant to delegated authority.\17\
---------------------------------------------------------------------------
\17\ 17 CFR 200.30-3(a)(57).
---------------------------------------------------------------------------
Sherry R. Haywood,
Assistant Secretary.
[FR Doc. 2025-08118 Filed 5-8-25; 8:45 am]
BILLING CODE 8011-01-P
