Self-Regulatory Organizations; Cboe BZX Exchange, Inc.; Order Instituting Proceedings To Determine Whether To Approve or Disapprove a Proposed Rule Change, as Modified by Amendment No. 1, To List and Trade Shares of the 21Shares Core XRP Trust Under BZX Rule 14.11(e)(4), Commodity-Based Trust Shares, 22367-22368 [2025-09395]
Download as PDF
<![CDATA[
Federal Register / Vol. 90, No. 100 / Tuesday, May 27, 2025 / Notices
For the Commission, by the Division of
Trading and Markets, pursuant to delegated
authority.34
Sherry R. Haywood,
Assistant Secretary.
[FR Doc. 2025–09393 Filed 5–23–25; 8:45 am]
BILLING CODE 8011–01–P
SECURITIES AND EXCHANGE
COMMISSION
[Release No. 34–103080; File No. SR–
CboeBZX–2025–021]
Self-Regulatory Organizations; Cboe
BZX Exchange, Inc.; Order Instituting
Proceedings To Determine Whether To
Approve or Disapprove a Proposed
Rule Change, as Modified by
Amendment No. 1, To List and Trade
Shares of the 21Shares Core XRP
Trust Under BZX Rule 14.11(e)(4),
Commodity-Based Trust Shares
May 20, 2025.
I. Introduction
On February 6, 2025, Cboe BZX
Exchange, Inc. (‘‘BZX’’ or ‘‘Exchange’’)
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 21Shares Core XRP
Trust (‘‘Trust’’) under BZX Rule
14.11(e)(4), Commodity-Based Trust
Shares. On February 12, 2025, the
Exchange filed Amendment No. 1 to the
proposed rule change, which replaced
and superseded the original filing in its
entirety. The proposed rule change, as
modified by Amendment No. 1, was
published for comment in the Federal
Register on February 21, 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
institutes proceedings under Section
34 17
CFR 200.30–3(a)(12).
U.S.C. 78s(b)(1).
2 17 CFR 240.19b–4.
3 See Securities Exchange Act Release No. 102426
(Feb. 14, 2025), 90 FR 10093 (‘‘Notice’’). Comments
received on the proposed rule change are available
at: https://www.sec.gov/comments/sr-cboebzx-2025021/srcboebzx2025021.htm.
4 15 U.S.C. 78s(b)(2).
5 See Securities Exchange Act Release No.
102600, 90 FR 12408 (Mar. 17, 2025). The
Commission designated May 22, 2025, as the date
by which the Commission shall approve,
disapprove, or institute proceedings to determine
whether to disapprove the proposed rule change, as
modified by Amendment No. 1.
khammond on DSK9W7S144PROD with NOTICES
1 15
VerDate Sep<11>2014
17:22 May 23, 2025
Jkt 265001
19(b)(2)(B) of the Act 6 to determine
whether to approve or disapprove the
proposed rule change, as modified by
Amendment No. 1.
II. Summary of the Proposal, as
Modified by Amendment No. 1
As described in more detail in the
Notice,7 the Exchange proposes to list
and trade the Shares of the Trust under
BZX Rule 14.11(e)(4), which governs the
listing and trading of Commodity-Based
Trust Shares on the Exchange.
The investment objective of the Trust
is to seek to track the performance of
XRP,8 as measured by the performance
of the CME CF XRP—Dollar Reference
Rate—New York Variant (‘‘Pricing
Benchmark’’), adjusted for the Trust’s
expenses and other liabilities.9 In
seeking to achieve its investment
objective, the Trust will hold XRP and
will value the Shares daily as of 4:00
p.m. ET using the same methodology
used to calculate the Pricing
Benchmark.10 The Trust’s assets will
only consist of XRP, cash, and cash
equivalents.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–
CboeBZX–2025–021 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, as
modified by Amendment No. 1, 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 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.
6 15
U.S.C. 78s(b)(2)(B).
Notice, supra note 3.
8 The Exchange states that XRP is a digital asset
that is created and transmitted through the
operations of the XRP Ledger, a distributed ledger
upon which XRP transactions are processed and
settled. See id. at 10095.
9 See id. at 10097. 21Shares US, LLC is the
sponsor of the Trust, CSC Delaware Trust Company
is the trustee, and Coinbase Custody Trust
Company, LLC will be responsible for custody of
the Trust’s XRP. See id. at 10094, 10096.
10 See id. at 10097.
11 See id. at 10096.
12 See id. at 10097.
13 15 U.S.C. 78s(b)(2)(B).
7 See
PO 00000
Frm 00144
Fmt 4703
Sfmt 4703
22367
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 XRP, 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, as modified by Amendment
No. 1, 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
Interested persons are invited to
submit written data, views, and
arguments regarding whether the
proposed rule change, as modified by
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
organization. See Securities Acts Amendments of
1975, Senate Comm. on Banking, Housing & Urban
Affairs, S. Rep. No. 75, 94th Cong., 1st Sess. 30
(1975).
16 Section
E:\FR\FM\27MYN1.SGM
27MYN1
22368
Federal Register / Vol. 90, No. 100 / Tuesday, May 27, 2025 / Notices
Amendment No. 1, should be approved
or disapproved by June 17, 2025. Any
person who wishes to file a rebuttal to
any other person’s submission must file
that rebuttal by July 1, 2025.
Comments may be submitted by any
of the following methods:
For the Commission, by the Division of
Trading and Markets, pursuant to delegated
authority.17
Sherry R. Haywood,
Assistant Secretary.
[FR Doc. 2025–09395 Filed 5–23–25; 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–
CboeBZX–2025–021 on the subject line.
Paper Comments
khammond on DSK9W7S144PROD with NOTICES
• 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–CboeBZX–2025–021. 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–CboeBZX–2025–021 and should be
submitted on or before June 17, 2025.
Rebuttal comments should be submitted
by July 1, 2025.
VerDate Sep<11>2014
17:22 May 23, 2025
Jkt 265001
SECURITIES AND EXCHANGE
COMMISSION
[Release No. 34–103086; File No. SR–
NYSEARCA–2025–25]
Self-Regulatory Organizations; NYSE
Arca, Inc.; Notice of Designation of a
Longer Period for Commission Action
on a Proposed Rule Change, as
Modified by Amendment No. 1, To
Amend the Bitwise Ethereum ETF To
Permit Staking
On March 20, 2025, NYSE Arca, Inc.
(‘‘Exchange’’) 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
amend the rule governing the listing and
trading of shares of the Bitwise
Ethereum ETF to permit staking. On
March 24, 2025, the Exchange filed
Amendment No. 1 to the proposed rule
change, which replaced and superseded
the original filing in its entirety. The
proposed rule change, as modified by
Amendment No. 1, was published for
comment in the Federal Register on
April 7, 2025.3
Section 19(b)(2) of the Act 4 provides
that within 45 days of the publication of
notice of the filing of a proposed rule
change, or within such longer period up
to 90 days as the Commission may
designate if it finds such longer period
to be appropriate and publishes its
reasons for so finding or as to which the
self-regulatory organization consents,
the Commission shall either approve the
proposed rule change, disapprove the
proposed rule change, or institute
proceedings to determine whether the
proposed rule change should be
disapproved. The 45th day after
publication of the notice for this
proposed rule change is May 22, 2025.
17 17
CFR 200.30–3(a)(57).
U.S.C. 78s(b)(1).
2 17 CFR 240.19b–4.
3 See Securities Exchange Act Release No. 102754
(Apr. 1, 2025), 90 FR 15023. Comments on the
proposed rule change may be viewed at https://
www-draft.sec.gov/comments/sr-nysearca-2025-25/
srnysearca202525.htm.
4 15 U.S.C. 78s(b)(2).
1 15
Frm 00145
For the Commission, by the Division of
Trading and Markets, pursuant to delegated
authority.6
Sherry R. Haywood,
Assistant Secretary.
[FR Doc. 2025–09402 Filed 5–23–25; 8:45 am]
BILLING CODE 8011–01–P
May 20, 2025.
PO 00000
The Commission is extending this 45day time period.
The Commission finds it appropriate
to designate a longer period within
which to take action on the proposed
rule change so that it has sufficient time
to consider the proposed rule change
and the issues raised therein.
Accordingly, the Commission, pursuant
to Section 19(b)(2) of the Act,5
designates July 6, 2025, as the date by
which the Commission shall either
approve or disapprove, or institute
proceedings to determine whether to
disapprove, the proposed rule change
(File No. SR–NYSEARCA–2025–25).
Fmt 4703
Sfmt 4703
SECURITIES AND EXCHANGE
COMMISSION
[Release No. 34–103082; File No. SR–
CboeBZX–2025–067]
Self-Regulatory Organizations; Cboe
BZX Exchange, Inc.; Notice of Filing
and Immediate Effectiveness of a
Proposed Rule Change To Increase the
Monthly Fee for 10 Gb Physical Ports
May 20, 2025.
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 May 9,
2025, Cboe BZX Exchange, Inc.
(‘‘Exchange’’ or ‘‘BZX’’) filed with the
Securities and Exchange Commission
(‘‘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
The Exchange proposes to increase
the monthly fee for 10 Gb physical
ports. The text of the proposed rule
change is provided in Exhibit 5.
The text of the proposed rule change
is also available on the Exchange’s
website (https://markets.cboe.com/us/
equities/regulation/rule_filings/BZX/),
at the Exchange’s Office of the
5 15
U.S.C. 78s(b)(2).
CFR 200.30–3(a)(31).
1 15 U.S.C. 78s(b)(1).
2 17 CFR 240.19b–4.
6 17
E:\FR\FM\27MYN1.SGM
27MYN1
]]>Agencies
[Federal Register Volume 90, Number 100 (Tuesday, May 27, 2025)]
[Notices]
[Pages 22367-22368]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 2025-09395]
-----------------------------------------------------------------------
SECURITIES AND EXCHANGE COMMISSION
[Release No. 34-103080; File No. SR-CboeBZX-2025-021]
Self-Regulatory Organizations; Cboe BZX Exchange, Inc.; Order
Instituting Proceedings To Determine Whether To Approve or Disapprove a
Proposed Rule Change, as Modified by Amendment No. 1, To List and Trade
Shares of the 21Shares Core XRP Trust Under BZX Rule 14.11(e)(4),
Commodity-Based Trust Shares
May 20, 2025.
I. Introduction
On February 6, 2025, Cboe BZX Exchange, Inc. (``BZX'' or
``Exchange'') 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
21Shares Core XRP Trust (``Trust'') under BZX Rule 14.11(e)(4),
Commodity-Based Trust Shares. On February 12, 2025, the Exchange filed
Amendment No. 1 to the proposed rule change, which replaced and
superseded the original filing in its entirety. The proposed rule
change, as modified by Amendment No. 1, was published for comment in
the Federal Register on February 21, 2025.\3\
---------------------------------------------------------------------------
\1\ 15 U.S.C. 78s(b)(1).
\2\ 17 CFR 240.19b-4.
\3\ See Securities Exchange Act Release No. 102426 (Feb. 14,
2025), 90 FR 10093 (``Notice''). Comments received on the proposed
rule change are available at: https://www.sec.gov/comments/sr-cboebzx-2025-021/srcboebzx2025021.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, as modified by Amendment No. 1.
---------------------------------------------------------------------------
\4\ 15 U.S.C. 78s(b)(2).
\5\ See Securities Exchange Act Release No. 102600, 90 FR 12408
(Mar. 17, 2025). The Commission designated May 22, 2025, as the date
by which the Commission shall approve, disapprove, or institute
proceedings to determine whether to disapprove the proposed rule
change, as modified by Amendment No. 1.
\6\ 15 U.S.C. 78s(b)(2)(B).
---------------------------------------------------------------------------
II. Summary of the Proposal, as Modified by Amendment No. 1
As described in more detail in the Notice,\7\ the Exchange proposes
to list and trade the Shares of the Trust under BZX Rule 14.11(e)(4),
which governs the listing and trading of Commodity-Based Trust Shares
on the Exchange.
---------------------------------------------------------------------------
\7\ See Notice, supra note 3.
---------------------------------------------------------------------------
The investment objective of the Trust is to seek to track the
performance of XRP,\8\ as measured by the performance of the CME CF
XRP--Dollar Reference Rate--New York Variant (``Pricing Benchmark''),
adjusted for the Trust's expenses and other liabilities.\9\ In seeking
to achieve its investment objective, the Trust will hold XRP and will
value the Shares daily as of 4:00 p.m. ET using the same methodology
used to calculate the Pricing Benchmark.\10\ The Trust's assets will
only consist of XRP, cash, and cash equivalents.\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 XRP is a digital asset that is
created and transmitted through the operations of the XRP Ledger, a
distributed ledger upon which XRP transactions are processed and
settled. See id. at 10095.
\9\ See id. at 10097. 21Shares US, LLC is the sponsor of the
Trust, CSC Delaware Trust Company is the trustee, and Coinbase
Custody Trust Company, LLC will be responsible for custody of the
Trust's XRP. See id. at 10094, 10096.
\10\ See id. at 10097.
\11\ See id. at 10096.
\12\ See id. at 10097.
---------------------------------------------------------------------------
III. Proceedings To Determine Whether To Approve or Disapprove SR-
CboeBZX-2025-021 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, as modified by Amendment No. 1, 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 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 XRP, 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, as
modified by Amendment No. 1, 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, as modified by
[[Page 22368]]
Amendment No. 1, should be approved or disapproved by June 17, 2025.
Any person who wishes to file a rebuttal to any other person's
submission must file that rebuttal by July 1, 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-CboeBZX-2025-021 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-CboeBZX-2025-021. 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-CboeBZX-2025-021 and should
be submitted on or before June 17, 2025. Rebuttal comments should be
submitted by July 1, 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. 2025-09395 Filed 5-23-25; 8:45 am]
BILLING CODE 8011-01-P
