Cboe C2 Exchange, Inc. applied for an exemption from certain rule filing requirements of the Securities Exchange Act, allowing them to incorporate rules from the Cboe Exchange, Inc. without filing separate changes. This would help maintain consistency between Cboe C2 rules and Cboe rules, ensuring that members trading on both exchanges follow the same standards. The Securities and Exchange Commission (SEC) granted this exemption, provided that Cboe C2 notifies its members about any changes to the Cboe rules. The SEC believes this approach will save time and resources and protect investors by avoiding conflicting regulations.
Simple Explanation
Cboe C2 Exchange asked if they could use rules from another exchange without having to make new ones, and the SEC said yes, as long as they tell their members about any changes. This way, both exchanges can use the same rules, making things easier and avoiding confusion.