Self-Regulatory Organizations; 24X National Exchange LLC; Notice of Filing and Immediate Effectiveness of Proposed Rule Change To Adopt Monthly Fees for Proprietary Market Data Feeds

<NOTICE> SECURITIES AND EXCHANGE COMMISSION <DEPDOC>[Release No. 34-104082; File No. SR-24X-2025-09]</DEPDOC> <SUBJECT>Self-Regulatory Organizations; 24X National Exchange LLC; Notice of Filing and Immediate Effectiveness of Proposed Rule Change To Adopt Monthly Fees for Proprietary Market Data Feeds</SUBJECT> <DATE>September 26, 2025.</DATE> Pursuant to Section 19(b)(1) of the Securities Exchange Act of 1934 (“Act”)  <SU>1</SU> <FTREF/> and Rule 19b-4 thereunder, <SU>2</SU> <FTREF/> notice is hereby given that on September 24, 2025, 24X National Exchange LLC (“24X” or the “Exchange”) 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. <FTNT> <SU>1</SU>  15 U.S.C. 78s(b)(1). </FTNT> <FTNT> <SU>2</SU>  17 CFR 240.19b-4. </FTNT> <HD SOURCE="HD1">I. Self-Regulatory Organization's Statement of the Terms of Substance of the Proposed Rule Change</HD> The Exchange proposes to adopt monthly fees for its proprietary market data feeds. The proposed rule change is available on the Exchange's website at <E T="03">https://equities.24exchange.com/regulation</E> and at the principal office of the Exchange. <HD SOURCE="HD1">II. Self-Regulatory Organization's Statement of the Purpose of, and Statutory Basis for, the Proposed Rule Change</HD> In its filing with the Commission, the self-regulatory organization 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 those 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 parts of such statements. <HD SOURCE="HD2">A. Self-Regulatory Organization's Statement of the Purpose of, and the Statutory Basis for, the Proposed Rule Change</HD> <HD SOURCE="HD3">1. Purpose</HD> The Exchange is proposing to adopt the monthly fees it will charge Members  <SU>3</SU> <FTREF/> and non-Members for its proprietary market data feeds, Depth of Book, Top of Book, and Last Sale (each an “Exchange Data Feed” and collectively, the “Exchange Data Feeds”). The Exchange is proposing to implement the proposed fees on September 29, 2025. As discussed below, the proposed fees are comparable to, or lower than, fees charged by other equities exchanges for proprietary market data feeds. <FTNT> <SU>3</SU>   <E T="03">See</E> 24X Rule 1.5(u). </FTNT> The Exchange offers three separate data feeds to subscribers—Depth of Book (“24X Depth”), Top of Book (“24X Top”), and Last Sale (“24X Last Sale”), as well as historical versions of each. <SU>4</SU> <FTREF/> The Exchange notes that there is no requirement that any market participant subscribe to a particular Exchange Data Feed or any Exchange Data Feed whatsoever, but instead, a market participant may choose to maintain subscriptions to those Exchange Data Feeds it deems appropriate based on its business model. The proposed pricing for each of the Exchange Data Feeds is set forth below. <FTNT> <SU>4</SU>   <E T="03">See</E> 24X Rule 13.8. </FTNT> <HD SOURCE="HD3">Depth of Book</HD> The 24X Depth feed is a 24X-only market data feed that contains all displayed orders for securities trading on the Exchange ( <E T="03">i.e.,</E> top and depth-of-book order data), order executions ( <E T="03">i.e.,</E> last sale data), order cancellations, order modifications, order identification numbers, and administrative messages. <SU>5</SU> <FTREF/> The Exchange proposes to charge each of the fees set forth below for access to the 24X Depth feed. <FTNT> <SU>5</SU>   <E T="03">See</E> 24X Rule 13.8(a). </FTNT> 1. <E T="03">Internal Distribution Fee.</E> For the receipt of access to the 24X Depth feed, the Exchange proposes to charge $1,500 per month. This proposed access fee would be charged to any data recipient that receives the 24X Depth feed for the purposes of internal distribution (an “Internal Distributor”). The Exchange proposes to define an Internal Distributor as “a Distributor that receives an Exchange Data product and then distributes that data to one or more data recipients within the Distributor's own organization.”  <SU>6</SU> <FTREF/> The proposed access fee for internal distribution will be charged only once per month per subscribing entity (“Firm”). The Exchange notes that it has proposed to use the phrase “own organization” in the definition of Internal Distributor and External Distributor (defined below) because a Firm will be permitted to share data received from an Exchange Data product with other legal entities affiliated with the Firm that have been disclosed to the Exchange without such distribution being considered external distribution to a third party. For example, if there are multiple affiliated broker-dealers under the same holding company, that company could have one of its broker-dealers or a non-broker-dealer affiliate subscribe to an Exchange Data product and then share the data with other affiliates. This sharing with affiliates would not be considered external distribution to a third party, but instead would be considered internal distribution to data recipients within the Distributor's own organization. <FTNT> <SU>6</SU>   <E T="03">See</E> Market Data Definitions under the proposed 24X Market Data Fee Schedule. The Exchange also proposes to define “Distributor” as “any entity that receives an Exchange Data product directly from the Exchange or indirectly through another entity and then distributes it internally or externally to a third party.” <E T="03">See id.</E> </FTNT> 2. <E T="03">External Distribution Fee.</E> For external distribution of the 24X Depth feed, the Exchange proposes to charge an access fee of $2,500 per month. The proposed redistribution fee would be charged to any External Distributor of the 24X Depth feed, which would be defined as “a Distributor that receives an Exchange Data product and then distributes that data to a third party or one or more data recipients outside the Distributor's own organization.”  <SU>7</SU> <FTREF/> The proposed access fee for external distribution will be charged only once per month per Firm. As noted above, while a Firm will be permitted to share data received from an Exchange Data product to other legal entities affiliated with the Firm that have been disclosed to the Exchange without such distribution being considered external to a third party, distribution of data received from an Exchange Data product to an unaffiliated third party would be considered distribution to data recipients outside the Distributor's own organization and the access fee for external distribution would apply. <FTNT> <SU>7</SU>   <E T="03">See</E> Market Data Definitions under the proposed 24X Market Data Fee Schedule. </FTNT> 3. <E T="03">Non-Display Usage Fees.</E> The Exchange proposes to establish separate non-display fees for usage by Trading Platforms and other Users ( <E T="03">i.e.,</E> not by Trading Platforms). <SU>8</SU> <FTREF/> Non-Display Usage would be defined to mean “any method of accessing an Exchange Data product that involves access or use by a machine or automated device without access or use of a display by a natural person or persons.”  <SU>9</SU> <FTREF/> For Non-Display Usage of the 24X Depth feed not by Trading Platforms, the Exchange proposes to establish a fee of $2,500 per month. <SU>10</SU> <FTREF/> For Non-Display Usage of the 24X Depth feed by Trading Platforms, the Exchange proposes to establish a fee of $2,500 per month. The proposed fees for Non-Display Usage will be charged only once per category per Firm. <SU>11</SU> <FTREF/> In other words, with respect to Non-Display Usage fees, a Firm that uses the 24X Depth feed for non-display purposes but does not operate a Trading Platform would pay $2,500 per month, a Firm that uses the 24X Depth feed in connection with the operation of one or more Trading Platforms (but not for other purposes) would pay $2,500 per month, and a Firm that uses the 24X Depth feed for non-display purposes other than operating a Trading Platform and for the operation of one or more Trading Platforms would pay $5,000 per month. <FTNT> <SU>8</SU>  The Exchange proposes to define a Trading Platform as “any execution platform operated as or by a registered National Securities Exchange (as defined in Section 3(a)(1) of the Exchange Act), an Alternative Trading System (as defined in Rule 300(a) of Regulation ATS), or an Electronic Communications Network (as defined in Rule 600(b)(23) of Regulation NMS).” <E T="03">See</E> Market Data Definitions under the proposed 24X Market Data Fee Schedule. </FTNT> <FTNT> <SU>9</SU>   <E T="03">See</E> Market Data Definitions under the proposed 24X Market Data Fee Schedule. </FTNT> <FTNT> <SU>10</SU>  Non-Display Usage not by Trading Platforms would include trading uses such as high frequency or algorithmic trading as well as any trading in any asset class, automated order or quote generation and/or order pegging, price referencing for smart order routing, operations control programs, investment analysis, order verification, surveillance programs, risk management, compliance, and portfolio management. </FTNT> <FTNT> <SU>11</SU>  The Exchange proposes to adopt note 1 to the proposed Market Data fees table, which would make clear to subscribers that use of the data for multiple non-display purposes or operation of more than one Trading Platform would only be charged once per category per month. Thus, the footnote makes clear that each fee applicable to Non-Displa ━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━ Preview showing 10k of 37k characters. Full document text is stored and available for version comparison. ━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━