Statement Summary
The Securities and Exchange Commission has announced the filing of a proposed rule change by Nasdaq ISE, LLC to offer Field-Programmable Gate Array (FPGA) technology as an optional delivery mechanism for its Depth of Market Data Feed. This FPGA technology aims to reduce jitter and improve data processing predictability. By providing a more deterministic data feed, it is expected to enhance the performance of customers requiring consistent data transmission during peak trading activities. The ISE plans to implement this service effective June 1, 2025, alongside appropriate fee structures. This move responds to growing customer demand and positions ISE competitively with other exchanges already utilizing similar technology. The proposal is currently open for public comment as part of the regulatory review process.
Original Statement
SECURITIES AND EXCHANGE COMMISSION
[Release No. 34-103035; File No. SR-ISE-2025-14]
Self-Regulatory Organizations; Nasdaq ISE, LLC; Notice of Filing and Immediate Effectiveness of Proposed Rule Change to Offer FPGA Technology as an Optional Delivery Mechanism for the Nasdaq ISE Depth of Market Data Feed
May 13, 2025.
Pursuant to Section 19(b)(1) of the Securities Exchange Act of 1934 (“Act”), and Rule 19b-4 thereunder, notice is hereby given that on April 30, 2025, Nasdaq ISE, LLC (“ISE” or “Exchange”) filed with the Securities and Exchange Commission (“SEC” or “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.
Self-Regulatory Organization’s Statement of the Terms and Purpose
The Exchange proposes to offer FPGA technology as an optional delivery mechanism for the Nasdaq ISE Depth of Market Data Feed.
The text of the proposed rule change is available on the Exchange’s Website and at the principal office of the Exchange, and also at the Commission’s Public Reference Room.
Purpose and Statutory Basis for the Proposed Rule Change
The Exchange included statements concerning the purpose of and basis for the proposed rule change and discussed any comments it received on this proposal. Summaries of the significant aspects are set forth below:
1. Purpose
ISE proposes to offer FPGA technology as an optional delivery mechanism for the Nasdaq ISE Depth of Market Data Feed. This FPGA technology is available on other exchanges and aims to reduce jitter, thereby allowing data to be processed in a more predictable, or deterministic, fashion. This can enhance performance during peak trading activities as orders and data packets typically accumulate during these times.
2. Statutory Basis
The Exchange believes that its proposal is consistent with Section 6(b) of the Act, promoting just and equitable principles of trade and protecting investors and the public interest.
Solicitation of Comments
Interested persons are invited to submit written data, views, and arguments concerning the proposed rule change, including whether it is consistent with the Act. Comments may be submitted in writing:
- Electronic Comments: Use the Commission’s internet comment form or email to rule-comments with the file number SR-ISE-2025-14 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-ISE-2025-14 and should be submitted on or before [INSERT DATE 21 DAYS AFTER DATE OF PUBLICATION IN THE FEDERAL REGISTER].
