# 2025-15622: Cboe Tweaks Rewards for Stock Market Liquidity Providers

2025-15622, Self-Regulatory Organizations; Cboe Exchange, Inc.; Notice of Filing and Immediate Effectiveness of a Proposed Rule Change To Amend Certain Lead Market-Maker (“LMM”) Incentive Programs by Increasing or Decreasing Quote Width and Size Requirements, and Increasing or Decreasing Rebate Amounts, as Applicable, and To Amend the Fees Schedule To Include Further Clarifying Information Regarding the Operation of Its LMM Incentive Programs, is a Federal Register notice from Securities and Exchange Commission published 2025-08-18, effective 2025-08-07; PRIA reads it as touching household money (as of 2026-06-08).

- Canonical: https://policyrisk.com/federal-register/2025-15622
- As of: 2026-06-08
- Plain-text twin of the page above; the HTML and this file carry the same facts.

## Facts
- Document number: 2025-15622
- Title: Self-Regulatory Organizations; Cboe Exchange, Inc.; Notice of Filing and Immediate Effectiveness of a Proposed Rule Change To Amend Certain Lead Market-Maker (“LMM”) Incentive Programs by Increasing or Decreasing Quote Width and Size Requirements, and Increasing or Decreasing Rebate Amounts, as Applicable, and To Amend the Fees Schedule To Include Further Clarifying Information Regarding the Operation of Its LMM Incentive Programs
- Type: Notice
- Agencies: Securities and Exchange Commission
- Citation: 90 FR 40099
- Published: 2025-08-18
- Effective: 2025-08-07
- Comments close: not stated
- Significant: no
- Touches household money: yes
- Regulation identifier numbers: none
- Last updated: 2026-06-08

## In one line

Cboe Tweaks Rewards for Stock Market Liquidity Providers

## Summary

Cboe Exchange is updating its Lead Market-Maker (LMM) incentive programs by tweaking the rules about how tight their quotes must be and how big their trades need to be. They’re also adjusting the money rewards (rebates) LMMs get, either up or down, to keep things fair and competitive. These changes take effect right away and aim to make the market smoother and more efficient for traders.

## Effects PRIA read

- VIX and VIXW Monthly Rebate Changes: mixed, high. If you are a Trading Permit Holder (TPH) with a Lead Market-Maker (LMM) appointment for GTH VIX/VIXW, the Exchange proposes that an LMM that posts continuous electronic quotes meeting the heightened VIX/VIXW quoting standards in at least 95% of each series 90% of the time in a month would receive $…
- MBTX Rebate Cut; Contract Credit Kept: cost, high. If you are an LMM appointed to the RTH MBTX/MBTXW program and meet the program's heightened quoting standards in at least 85% of MBTX series 85% of the time in a month, the monthly rebate is proposed to decrease from $10,000 to $5,000 (pro-rated if appointment begins or ends mid-month). The program…
- New Heightened Quoting Standards: mixed, medium. The Exchange proposes new heightened quoting standards (specific minimum quote widths and sizes) for LMM Incentive Programs covering VIX, SPX/SPXW (GTH1 and GTH2), XSP (GTH1 and GTH2), MBTX, CBTX, and SPEQX. The filing states that the proposals generally adopt tighter widths for VIX, SPX/SPXW, MBTX…
- Clarification On Quote Aggregation (Footnote 53): benefit, low. The Exchange proposes to add Footnote 53 stating that, for LMM Incentive Programs, an LMM's continuous electronic quotes across all Executing Firm IDs (EFIDs) will be aggregated when calculating whether the LMM met monthly heightened quoting standards, and that adjustments will be made for trading…
- Exchange Says Markets Should Tighten Spreads: benefit, medium. The Exchange states it believes the amended LMM Incentive Programs will encourage LMMs to provide more liquidity, which the Exchange says can produce tighter spreads, increased trading opportunities, and enhanced price discovery that benefit market participants. The Exchange frames these market-qua…

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## Sources
- [2025-15622 on federalregister.gov](https://www.federalregister.gov/documents/2025/08/18/2025-15622/self-regulatory-organizations-cboe-exchange-inc-notice-of-filing-and-immediate-effectiveness-of-a)
- [2025-15622 as published (PDF)](https://www.govinfo.gov/content/pkg/FR-2025-08-18/pdf/2025-15622.pdf)

## Related
- [Previous: 2025-15621, Self-Regulatory Organizations; Cboe BZX Exchange, Inc.; Notice of Filing of a P…](https://policyrisk.com/federal-register/2025-15621)
- [Next: 2025-15623, Self-Regulatory Organizations; Investors Exchange LLC; Notice of Filing and Imm…](https://policyrisk.com/federal-register/2025-15623)
- [All Federal Register documents](https://policyrisk.com/federal-register)

Source: PRIA, https://policyrisk.com/federal-register/2025-15622 (as of 2026-06-08).