Cboe C2 Exchange adopts fee schedule amendment for Step Up auctions
The amendment, effective immediately upon filing on September 11, 2026, applies to all Cboe C2 participants executing Step Up Mechanism auctions, except DJX and RUT contracts.
On September 11, 2026 Cboe C2 Exchange, Inc. filed a proposed rule change under Section 19(b)(1) of the Securities Exchange Act of 1934 and Rule 19b-4. The notice, published September 17, 2026 in Federal Register Volume 91, Number 182 (pages 60184-60186, FR Doc No: 2026-19299; Release No. 34-106403; File No. SR-C2-2026-026), announces immediate effectiveness of the amendment.
The amendment adds language to the Exchange's Fee Schedule stating that, for executions in Step Up Mechanism (SUM) auctions, the incoming order will receive the applicable remove rate, while auction responses and unrelated orders will receive the applicable add rate. The change does not introduce any new fee or alter existing fee amounts; it merely reclassifies how the existing remove/add framework applies to SUM volume.
The Exchange explains that the treatment mirrors the fee structure used by its affiliate, Cboe Exchange, Inc., and reflects the functional roles in a SUM auction: the primary order acts as a taker removing liquidity, and the response acts as a maker adding liquidity. The proposed language is intended to apply uniformly to all market participants.
The amendment applies to all participants in SUM auctions on C2, except for DJX and RUT products, which retain separate pricing tables in the C2 Fee Schedule. The existing fee treatment for Complex Order Auctions remains unchanged.
The Exchange asserts that the change complies with Section 6(b) of the Act, including the requirements of Sections 6(b)(5) and 6(b)(4) to promote equitable fee allocation and to avoid unfair discrimination among customers, issuers, brokers, or dealers.
Further reading