Nadex Adds Discretionary Strike Levels and Refrains from Listing Certain Contracts

2016

Pursuant to Section 5c(c)(1) of the Commodity Exchange Act, and Commission Regulation §40.6(d)(2)(iv), and by the authority granted by Nadex Rules 12.5, 12.20, 12.59, 12.61, 12.63, and 12.65, due to volatility in the underlying markets upon which the Nadex contracts are based, Nadex added additional strike levels on a discretionary basis in its Weekly US Tech 100 and US SmallCap 2000 Binary contracts on January 4, 2016. Nadex plans to return to its regular listing for these contracts on January 11, 2016. Nadex also added discretionary strikes in its Daily US Tech 100, US SmallCap 2000, Wall Street 30 and US 500 Binary contracts on January 4, 2016. Nadex returned to its regular listing for its Daily US SmallCap 2000, Wall Street 30, and US 500 Binary contracts on January 5, 2016, but listed additional discretionary strikes in the Daily US Tech 100 Binary contracts for that day. Additional discretionary strikes were added in the Daily US Tech 100, Wall Street 30, US SmallCap 2000, US 500, and Gold Binary contracts on January 6, 2016. Nadex returned to its regular listing schedule for the Daily Gold Binary contracts on January 7, 2016. Nadex listed additional discretionary strikes in its Daily Bitcoin, US Tech 100, Wall Street 30, US SmallCap 2000, and US 500 Binary contracts on January 7, 2016, and returned to its regular listing schedule for these contracts on January 8, 2016.

Additionally, on trade date January 4, 2016, Intraday FTSE 100® Binary contracts which would have expired at 5:00am, 6:00am, and 7:00am ET were not listed. Intraday FTSE 100 Binary contracts with expiration times of 10:00am and 11:00am ET opened late at 9:02 and 9:03am ET, respectively, and Intraday FTSE 100 Variable Payout contracts with expiration times of 10:00am and 11:00am ET opened late at 9:05am ET.

Finally, Nadex plans to temporarily refrain from listing its Weekly and Daily Bitcoin Binary contracts beginning on January 11, 2015.

Should you have any questions or require further information, please contact the Compliance Department.
Document Notice 706