Nasdaq GEMX Updates Options Regulatory Fee Methodology
Published Date: 8/6/2025
Notice
Summary
Starting January 2, 2026, Nasdaq GEMX is changing how it charges its Options Regulatory Fee (ORF). Now, only options trades done on GEMX and cleared in the Customer range at the Options Clearing Corporation will be charged this fee. This update affects traders using GEMX and could change the fees they pay for certain options transactions.
Analyzed Economic Effects
6 provisions identified: 3 benefits, 1 costs, 2 mixed.
ORF Only on GEMX Customer Trades
Starting January 2, 2026, GEMX will assess its Options Regulatory Fee (ORF) only for Customer options transactions that are executed on GEMX and cleared in the OCC Customer range. GEMX will not assess ORF on Customer executions that occur on other exchanges, even if they are later cleared by an OCC clearing member.
ORF Rate Increase to $0.0116
Effective January 2, 2026, GEMX proposes to raise the ORF from $0.0009 per contract side (the August 1, 2025 level) to $0.0116 per contract side for Customer contracts executed on GEMX. This is a per-contract increase that will apply to Customer contracts subject to the ORF methodology change.
Market Makers and Certain Firms Excepted from ORF
GEMX continues to except Market Maker transactions (including Market Maker orders and quotes) and does not assess ORF on Firm Proprietary and Broker-Dealer transactions. The Exchange states these exclusions are intended to allow liquidity providers and sophisticated firms to manage costs and quoting responsibilities.
Billing Based on Execution Clearing Instructions
GEMX will bill ORF based on the clearing instruction provided on the execution trade date and will not consider CMTA changes or transfers that occur at OCC after execution (except same-day adjustments on GEMX). The fee therefore will be assessed to the clearing member on record at execution on GEMX.
Temporary Change—Sunsets February 1, 2026
The proposed ORF methodology and the $0.0116 per contract side rate will sunset on February 1, 2026, at which point GEMX would revert to the prior ORF methodology and the $0.0009 per contract side rate. The Exchange may reconsider the sunset date in early 2026.
ORF Revenue Capped at 82% of Regulatory Cost
GEMX will endeavor to ensure that ORF Regulatory Revenue will not exceed 82% of Options Regulatory Cost and in all cases will continue to ensure that ORF Revenue does not exceed total Options Regulatory Cost. The Exchange says fines and other regulatory fees offset regulatory costs.
Personalized for You
How does this regulation affect your finances?
Personalize government policy and PRIA will tell you what this federal register document means for your household, plus every other regulation we track. PRIA reads each provision against your financial profile to show you exactly what matters to your wallet.
Key Dates
Department and Agencies
Related Federal Register Documents
2026-17183, Regulation Crypto Assets
The Securities and Exchange Commission ("Commission") is proposing new rules to create a tailored offering regime for certain investment contracts involving crypto assets. The proposed offering regime is intended to facilitate capital formation and accommodate innovation within the crypto asset markets while, at the same time, ensuring that investors are adequately protected and provided with the information they need to make informed investment decisions. The proposed rules would be set forth in a new regulation titled "Regulation Crypto Assets" and would include two exemptions from the registration requirements of section 5 of the Securities Act of 1933. The first exemption would permit offerings of up to $5 million during a four-year period. The second exemption would permit offerings of up to $75 million during each 12-month period. Under both exemptions, issuers would be required to make certain principles-based narrative disclosures available to their investors. In addition, issuers under the second exemption would be required to provide financial statements and would be subject to ongoing reporting requirements. Issuers that rely on these exemptions would remain subject to the antifraud and antimanipulation provisions of the Federal securities laws. The proposed rules also would include a conditional safe harbor from the term "investment contract" in the definitions of "security" in the Securities Act of 1933 and the Securities Exchange Act of 1934. If the conditions of that proposed safe harbor are satisfied, then a crypto asset would be deemed not to be subject to an investment contract for purposes of those definitions of "security."
2026-12163, The Trade-Through Rule and Locked and Crossed Markets Provisions of Regulation NMS
The SEC wants to scrap some old rules that stop stocks from being traded at worse prices and prevent confusing market quotes. This change affects stock traders and exchanges, aiming to simplify trading and possibly speed things up. If you want to share your thoughts, you’ve got until August 17, 2026, so don’t miss out!
2026-10373, Registered Offering Reform
The SEC wants to make it easier and cheaper for more companies to sell their stocks and bonds to the public. They’re opening up special forms and benefits to more businesses, updating rules to be more modern, and cutting red tape by overriding some state rules. If you’re a company planning to raise money, these changes could speed things up and save you money, with feedback due by July 27, 2026.
2026-10222, Enhancement of Emerging Growth Company Accommodations and Simplification of Filer Status for Reporting Companies
The SEC is making it easier for companies that report their finances by simplifying their categories into just two groups: big and small filers. Smaller companies, including emerging growth ones, will get more time to file reports and enjoy simpler rules, while big companies keep stricter standards. These changes aim to save time and money, with feedback open until July 20, 2026.
2026-07651, Concept Release on Consolidated Audit Trail and Other Audit Trails and Data Sources
The SEC wants your thoughts on how it tracks stock market trades using the Consolidated Audit Trail and other data tools. They’re thinking about updating rules to keep up with new tech, privacy, and security needs, and to make sure the system is fair and cost-effective. If you’re involved in the stock market or data tracking, speak up by June 22, 2026!
2026-17058, Self-Regulatory Organizations; Nasdaq ISE, LLC; Notice of Filing and Immediate Effectiveness of Proposed Rule Change To Amend the Exchange's Connectivity Schedule and Discontinue a Previously Proposed Offering
Previous / Next Documents
Previous: 2025-14857, Self-Regulatory Organizations; Nasdaq PHLX LLC; Notice of Filing and Immediate Effectiveness of a Proposed Rule Change To Amend the Methodology for Its Options Regulatory Fee (ORF) as of January 2, 2026
Starting January 2, 2026, Nasdaq PHLX will change how it charges the Options Regulatory Fee (ORF). Only options trades cleared in the Customer range at The Options Clearing Corporation will be charged this fee. This means some traders might pay less, while the fee collection method gets simpler and fairer.
Next: 2025-14859, Paxos Securities Settlement Company, LLC; Notice of Filing of an Application for Registration as a Clearing Agency Under Section 17A of the Securities Exchange Act of 1934
Paxos Securities Settlement Company wants to become an official clearing agency to help settle and clear securities trades using a cool, secure digital ledger. This change affects investors and financial firms by potentially speeding up and securing how trades are finalized. The SEC is now asking for public comments before deciding, so keep an eye out for deadlines and possible fees.