Nasdaq Caps Options Fees to Ease Market Maker Wallet Woes
Published Date: 12/18/2025
Notice
Summary
Nasdaq PHLX is updating its rules to change the monthly fee caps for market makers and firms trading certain options. This affects traders dealing with multiply listed options like stocks, ETFs, and indexes (but not SPY or broad-based indexes). The new fee caps take effect immediately, aiming to keep trading costs fair and clear.
Analyzed Economic Effects
4 provisions identified: 0 benefits, 3 costs, 1 mixed.
Market-Maker Cap: New Fee Exclusions
If you are a Lead Market Maker or Market Maker, the Monthly Market Maker Cap remains $500,000 but the Exchange explicitly excludes Crossing Order Fees and FLEX Electronic Transaction Fees from that cap. The cap still excludes surcharges and options overlying broad-based index symbols listed in Options 7, Section 5.A, and the Exchange migration of new functionality completes on December 8, 2025.
Per-Contract Fees When Cap Is Reached
The filing reiterates that Lead Market Makers or Market Makers who are on the contra-side of an electronically-delivered and executed Customer order and have reached the Monthly Market Maker Cap are assessed per-contract fees: $0.05 per contract for Adding Liquidity in Penny Symbols and $0.18 per contract for Removing Liquidity in Penny Symbols, Non-Penny Symbols, and non-Complex electronic auctions.
Firm Monthly Cap Clarified — Electronic Fees Excluded
Firms remain subject to a $250,000 Monthly Firm Fee Cap, and the Exchange now explicitly states that Electronic Options Transaction Charges are excluded from that cap. The filing also adds a citation for QCC Transaction Charges.
Which Options This Covers
The amended Pricing Schedule and caps apply to Multiply Listed Options — including options overlying equities, ETFs, ETNs and indexes — but explicitly exclude SPY and broad-based index option symbols listed within Options 7, Section 5.A. Changes described in the filing apply to those multiply listed classes.
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!
2026-17203, Self-Regulatory Organizations; Cboe Exchange, Inc.; Notice of Filing and Immediate Effectiveness of a Proposed Rule Change To Update Its Fees Schedule in Connection With Binary Options That Overlie the Mini-S&P 500 Index
Cboe Exchange is updating its fees for binary options tied to the Mini-S&P 500 Index, called XSP binary options. They’re adding standard transaction fees and removing these options from some special fee programs. These changes took effect right away on August 12, 2026, and will impact traders using these specific options.
Previous / Next Documents
Previous: 2025-23236, Self-Regulatory Organizations; Miami International Securities Exchange, LLC; Notice of Filing and Immediate Effectiveness of a Proposed Rule Change To Amend the Fee Schedule To Regroup Options Exchanges Within the Routing Fee Table
MIAX is shaking up its fee schedule by regrouping options exchanges in its routing fee table. This change affects traders who send customer orders through MIAX and could tweak the fees they pay when their orders get routed to other exchanges. The new fee setup took effect right away on December 1, 2025, so everyone should check how it impacts their trading costs.
Next: 2025-23238, Self-Regulatory Organizations; MIAX Emerald, LLC; Notice of Filing and Immediate Effectiveness of a Proposed Rule Change To Amend the MIAX Emerald Options Exchange Fee Schedule To Regroup Options Exchanges Within the Routing Fee Table
MIAX Emerald is updating its fee schedule to reorganize how it groups other options exchanges in its routing fee table. This change affects traders who send orders through MIAX Emerald and could impact the fees they pay when their orders are routed to different exchanges. The new fee grouping is effective immediately as of December 1, 2025, making it easier to understand and possibly saving money for some users.