Cboe BYX Exchange adopts fee-credit program for backup logical ports
Effective Aug. 20, 2026, the rule gives BYX members credit for redundant logical-port fees during order-entry protocol migrations.
On August 20, 2026, Cboe BYX Exchange, Inc. filed a proposed rule change with the Securities and Exchange Commission that amends its fee schedule to create an Order Entry Protocol Migration Program. The filing is immediately effective under Section 19(b)(1) of the Securities Exchange Act of 1934 and Rule 19b-4, and the Commission is soliciting comments.
The program provides a credit for the monthly logical-port fee when a member establishes a redundant logical port solely as a backup during an exchange-initiated migration, such as moving from BOEv2 to BOEv3 logical ports. Eligibility requires notification to the Exchange's Trade Desk, cancellation of the redundant port within 30 calendar days, and a credit request submitted within 30 days of cancellation. Upon verification, the credit is applied to the member's invoice for the subsequent billing cycle.
The Exchange frames the credit as a mitigation of costs that arise only from the Exchange's own protocol migration, not from member-initiated changes. It characterizes the 30-day overlap period as reasonable to allow testing of the new port while preventing indefinite subsidization of duplicate connectivity.
The filing cites statutory authority under the Securities Exchange Act of 1934, specifically Section 6(b)(5), asserting that the rule aligns with the Act's requirements to prevent fraudulent practices, promote equitable trade, and avoid unfair discrimination.
Comments on the proposal are invited; the rule text is available on the SEC and Cboe websites and at the Exchange's principal office.
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