[Federal Register Volume 84, Number 210 (Wednesday, October 30, 2019)]
[Notices]
[Pages 58189-58194]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 2019-23629]


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SECURITIES AND EXCHANGE COMMISSION

[Release No. 34-87393; File No. SR-DTC-2019-008]


Self-Regulatory Organizations; The Depository Trust Company; 
Notice of Filing of Proposed Rule Change To Require Confirmation of 
Cybersecurity Program

October 24, 2019.
    Pursuant to Section 19(b)(1) of the Securities Exchange Act of 1934 
(``Act'') \1\ and Rule 19b-4 thereunder,\2\

[[Page 58190]]

notice is hereby given that on October 15, 2019, The Depository Trust 
Company (``DTC'') filed with the Securities and Exchange Commission 
(``Commission'') the proposed rule change as described in Items I, II 
and III below, which Items have been prepared by the clearing agency. 
The Commission is publishing this notice to solicit comments on the 
proposed rule change from interested persons.
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    \1\ 15 U.S.C. 78s(b)(1).
    \2\ 17 CFR 240.19b-4.
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I. Clearing Agency's Statement of the Terms of Substance of the 
Proposed Rule Change

    The proposed rule change consists of modifications to the Rules, 
By-Laws and Organization Certificate of DTC (``Rules'') \3\ in order to 
(1) define ``Cybersecurity Confirmation'' as a signed, written 
representation that addresses the submitting firm's cybersecurity 
program; and (2) enhance the DTC application requirements and ongoing 
requirements for Participants and Pledgees to (a) require that a 
Cybersecurity Confirmation be provided as part of the application 
materials for all Participants and Pledgees, and (b) require that 
Participants and Pledgees deliver to DTC a complete, updated 
Cybersecurity Confirmation at least every two years, as described in 
greater detail below.
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    \3\ Capitalized terms not defined herein are defined in the 
Rules, available at http://www.dtcc.com/legal/rules-and-procedures.
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II. Clearing Agency's Statement of the Purpose of, and Statutory Basis 
for, the Proposed Rule Change

    In its filing with the Commission, the clearing agency included 
statements concerning the purpose of and basis for the proposed rule 
change and discussed any comments it received on the proposed rule 
change. The text of these statements may be examined at the places 
specified in Item IV below. The clearing agency has prepared summaries, 
set forth in sections A, B, and C below, of the most significant 
aspects of such statements.

(A) Clearing Agency's Statement of the Purpose of, and Statutory Basis 
for, the Proposed Rule Change

1. Purpose
(i) Overview
    DTC is proposing to modify the Rules in order to (1) define 
``Cybersecurity Confirmation'' as a signed, written representation that 
addresses the submitting firm's cybersecurity program; and (2) enhance 
the DTC application requirements and ongoing requirements for 
Participants and Pledgees to (a) require that a Cybersecurity 
Confirmation be provided as part of the application materials for all 
Participants and Pledgees, and (b) require that Participants and 
Pledgees deliver to DTC a complete, updated Cybersecurity Confirmation 
at least every two years.
    The proposed change would require all Participants, Pledgees and 
applicants to deliver to DTC a signed, written Cybersecurity 
Confirmation, which includes representations regarding the submitting 
firm's cybersecurity program and framework. The Cybersecurity 
Confirmation would be required to be (1) delivered with the application 
materials for every applicant for membership as a Participant and 
applicant to be a Pledgee, and (2) updated and re-delivered at least 
every two years by all Participants and Pledgees.
    As described in more detail below, the Cybersecurity Confirmation 
would help DTC to assess the cybersecurity risks that may be introduced 
to it by Participants and Pledgees that connect to DTC either through 
the Securely Managed and Reliable Technology (``SMART'') network \4\ or 
through other connections. The proposed Cybersecurity Confirmation 
would allow DTC to better understand its Participants' and Pledgees' 
cybersecurity programs and frameworks and identify possible 
cybersecurity risk exposures. Based on this information, DTC would be 
able to establish appropriate controls to mitigate these risks and 
their possible impacts to DTC's operations.
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    \4\ The SMART network is a technology managed by DTC's parent 
company, The Depository Trust & Clearing Corporation (``DTCC''), 
that connects a nationwide complex of networks, processing centers 
and control facilities. This network extends between DTC's and its 
Participants' and Pledgees' operating premises. DTCC operates on a 
shared services model with respect to DTC and DTCC's other 
subsidiaries pursuant to intercompany agreements under which it is 
generally DTCC that provides a relevant service to its subsidiaries, 
including DTC.
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(ii) Background of Proposal
    DTC believes it is prudent to better understand the cybersecurity 
risks that it may face through its interconnections to Participants and 
Pledgees. As a designated systemically important financial market 
utility, or ``SIFMU,'' DTC occupies a unique position in the 
marketplace such that a failure or a disruption to DTC could increase 
the risk of significant liquidity problems spreading among financial 
institutions or markets and thereby threaten the stability of the 
financial system in the United States.\5\ Given its designation as a 
SIFMU, DTC believes it is prudent to develop an enhanced endpoint 
security framework designed so that its SMART network or other 
connectivity is adequately protected against cyberattacks.
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    \5\ DTC and its affiliates, Fixed Income Clearing Corporation 
and National Securities Clearing Corporation, were designated SIFMUs 
under Title VIII of the Dodd-Frank Wall Street Reform and Consumer 
Protection Act of 2010. 12 U.S.C. 5465(e)(1).
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    Currently, DTC does not obtain any information regarding the 
security of a firm's systems or cybersecurity program prior to 
permitting that firm to connect either directly to the SMART network or 
to DTC through another means, such as through a third party service 
provider, service bureau, network, or the internet. Given DTC's 
critical role in the marketplace, DTC is proposing to address the risks 
that could be posed by these connections.
    Participants and Pledgees may currently be subject to regulations 
that are designed, in part, to enhance the safeguards used by these 
entities to protect themselves against cyberattacks.\6\ In order to 
comply with such regulations, Participants, Pledgees and applicants 
would be required to follow standards established by national or 
international organizations focused on information security management, 
and would have already established protocols to allow their senior 
management to verify that they have sufficient cybersecurity programs 
in place to fulfill existing regulatory obligations. Other Participants 
and Pledgees have established and follow substantially similar 
protocols because of evolving expectations by regulators or by 
institutional customers as to the sufficiency of their cyber 
safeguards. DTC believes that it should require confirmation of the 
cybersecurity standards utilized by its Participants, Pledgees and 
applicants that connect to its network.
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    \6\ For example, depending on the type of entity, Participants 
and Pledgees may be subject to one or more of the following 
regulations: (1) Regulation S-ID, which requires ``financial 
institutions'' or ``creditors'' under the rule to adopt programs to 
identify and address the risk of identity theft of individuals (17 
CFR 248.201-202); (2) Regulation S-P, which requires broker-dealers, 
investment companies, and investment advisers to adopt written 
policies and procedures that address administrative, technical, and 
physical safeguards for the protection of customer records and 
information (17 CFR 248.1-30); and (3) Rule 15c3-5 under the Act, 
known as the ``Market Access Rule,'' which requires broker-dealers 
to establish, document, and maintain a system for regularly 
reviewing the effectiveness of its management controls and 
supervisory procedures (17 CFR 240.15c3-5).
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    The proposed Cybersecurity Confirmation would require

[[Page 58191]]

Participants, Pledgees and applicants to represent that they have 
established adequate controls and security to help limit (1) 
cybersecurity risks to DTC and to the other Participants' and Pledgees' 
networks and (2) access by unauthorized third parties while the firm is 
connected to DTC either directly through the SMART network or through 
other connectivity such as a service provider, service bureau, network, 
or the internet.
(iii) Proposed Rule Changes
    DTC is proposing to modify its Rules to (1) define ``Cybersecurity 
Confirmation;'' and (2) require that firms deliver a completed 
Cybersecurity Confirmation (a) as part of their initial application 
with DTC, and (b) on an ongoing basis, at least every two years. Each 
of these proposed rule changes is described in greater detail below.
(1) Proposed Cybersecurity Confirmation
    DTC is proposing to adopt a definition of ``Cybersecurity 
Confirmation.'' Each Cybersecurity Confirmation would be required to be 
in writing on a form provided by DTC and signed by a designated senior 
executive of the submitting firm who is authorized to attest to these 
matters. Based on the form provided by DTC, each Cybersecurity 
Confirmation would contain representations regarding the submitting 
firm's cybersecurity program and framework. Such representations by the 
submitting firm would cover the two years prior to the date of the most 
recently provided Cybersecurity Confirmation.
    DTC is proposing to require that the following representations be 
included in the form of Cybersecurity Confirmation:
    First, the Cybersecurity Confirmation would include a 
representation that the submitting firm has defined and maintains a 
comprehensive cybersecurity program and framework that considers 
potential cyber threats that impact the organization and protects the 
confidentiality, integrity and availability requirements of its systems 
and information.
    Second, the Cybersecurity Confirmation would include a 
representation that the submitting firm has implemented and maintains a 
written enterprise cybersecurity policy or policies approved by the 
submitting firm's senior management or board of directors, and the 
organization's cybersecurity framework is in alignment with standard 
industry best practices and guidelines.\7\
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    \7\ Examples of recognized frameworks, guidelines and standards 
that DTC believes are adequate include the Financial Services Sector 
Coordinating Council Cybersecurity Profile, the National Institute 
of Standards and Technology Cybersecurity Framework (``NIST CSF''), 
International Organization for Standardization (``ISO'') standard 
27001/27002 (``ISO 27001''), Federal Financial Institutions 
Examination Council (``FFIEC'') Cybersecurity Assessment Tool, 
Critical Security Controls Top 20, and Control Objectives for 
Information and Related Technologies. DTC would identify recognized 
frameworks, guidelines and standards in the form of Cybersecurity 
Confirmation and in an Important Notice that DTC would issue from 
time to time. DTC would also consider accepting other standards upon 
request by a Participant, Pledgee or applicant.
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    Third, the Cybersecurity Confirmation would include a 
representation that, if the submitting firm is using a third party 
service provider or service bureau(s) to connect or transact business 
or to manage the connection with DTC, the submitting firm has an 
appropriate program to (a) evaluate the cyber risks and impact of these 
third parties, and (b) review the third party assurance reports.
    Fourth, the Cybersecurity Confirmation would include a 
representation that the submitting firm's cybersecurity program and 
framework protect the segment of their system that connects to and/or 
interacts with DTC.
    Fifth, the Cybersecurity Confirmation would include a 
representation that the submitting firm has in place an established 
process to remediate cyber issues identified to fulfill the submitting 
firm's regulatory and/or statutory requirements.
    Sixth, the Cybersecurity Confirmation would include a 
representation that the submitting firm's cybersecurity program's and 
framework's risk processes are updated periodically based on a risk 
assessment or changes to technology, business, threat ecosystem, and/or 
regulatory environment.
    And, finally, the Cybersecurity Confirmation would include a 
representation that the review of the submitting firm's cybersecurity 
program and framework has been conducted by one of the following: (1) 
The submitting firm, if it has filed and maintains a current 
Certification of Compliance with the Superintendent of the New York 
State Department of Financial Services confirming compliance with its 
Cybersecurity Requirements for Financial Services Companies; \8\ (2) a 
regulator who assesses the program against an industry cybersecurity 
framework or industry standard, including those that are listed on the 
form of Cybersecurity Confirmation and in an Important Notice that is 
issued by DTC from time to time; \9\ (3) an independent external entity 
with cybersecurity domain expertise in relevant industry standards and 
practices, including those that are listed on the form of Cybersecurity 
Confirmation and in an Important Notice that is issued by DTC from time 
to time; \10\ or (4) an independent internal audit function reporting 
directly to the submitting firm's board of directors or designated 
board of directors committee, such that the findings of that review are 
shared with these governance bodies.
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    \8\ 23 N.Y. Comp. Codes R. & Regs. tit. 23, Sec.  500 (2017). 
This regulation requires firms to confirm that they have a 
comprehensive cybersecurity program, as described in the regulation, 
which DTC believes is sufficient to meet the objectives of the 
proposed Cybersecurity Confirmation.
    \9\ Industry cybersecurity frameworks and industry standards 
could include, for example, the Office of the Comptroller of the 
Currency or the FFIEC Cybersecurity Assessment Tool. DTC would 
identify acceptable industry cybersecurity frameworks and standards 
in the form of Cybersecurity Confirmation and in an Important Notice 
that DTC would issue from time to time. DTC would also consider 
accepting other industry cybersecurity frameworks and standards upon 
request by a Participant, Pledgee or applicant.
    \10\ A third party with cybersecurity domain expertise is one 
that follows and understands industry standards, practices and 
regulations that are relevant to the financial sector. Examples of 
such standards and practices include ISO 27001 certification or NIST 
CSF assessment. DTC would identify acceptable industry standards and 
practices in the form of Cybersecurity Confirmation and in an 
Important Notice that DTC would issue from time to time. DTC would 
also consider accepting other industry standards and practices upon 
request by a Participant, Pledgee or applicant.
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    Together, the required representations are designed to provide DTC 
with evidence of each Participant's, Pledgee's or applicant's 
management of cybersecurity with respect to their connectivity to DTC. 
By requiring these representations from Participants, Pledgees and 
applicants the proposed Cybersecurity Confirmation would provide DTC 
with information that it could use to make decisions about risks or 
threats, perform additional monitoring, target potential 
vulnerabilities, and protect the DTC network.
    DTC is proposing to amend the Rules to include a definition of 
``Cybersecurity Confirmation,'' as described above, in a new Section 11 
of Rule 2 (Participants and Pledgees).
(2) Initial and Ongoing Requirement
    DTC is proposing to require that a Cybersecurity Confirmation be 
submitted to DTC by any applicant, as part of their application 
materials, and at least every two years by all Participants and 
Pledgees. With respect

[[Page 58192]]

to the requirement to deliver a Cybersecurity Confirmation at least 
every two years, DTC would provide all Participants and Pledgees with 
notice of the date on which such Cybersecurity Confirmations would be 
due no later than 180 calendar days prior to such due date.
    In order to implement these proposed changes, DTC would amend the 
Rules to include a new Section 11 of Rule 2 (Participants and Pledgees) 
to require that (1) applicants complete and deliver a Cybersecurity 
Confirmation as part of their application materials; and (2) each 
Participant and Pledgee complete and deliver a Cybersecurity 
Confirmation at least every two years, on a date that is set by DTC and 
following notice that is provided no later than 180 calendar days prior 
to such due date.
(iv) Implementation Timeframe
    Subject to approval by the Commission, the proposed rule change 
would become effective immediately. The proposed requirement that 
applicants deliver a Cybersecurity Confirmation with their application 
materials would be implemented immediately and would apply to 
applications that have been submitted at that time but have not yet 
been approved or rejected. Following the effective date of the proposed 
rule change, DTC would provide Participants and Pledgees with notice of 
the due date of their Cybersecurity Confirmations, no later than 180 
days prior to such due date, and would provide such notice at least 
every two years going forward.
2. Statutory Basis
    DTC believes the proposed rule changes are consistent with the 
requirements of the Act and the rules and regulations thereunder 
applicable to a registered clearing agency. In particular, DTC believes 
that the proposed rule changes are consistent with Section 17A(b)(3)(F) 
of the Act,\11\ and Rules 17Ad-22(e)(17)(i) and (e)(17)(ii), each 
promulgated under the Act,\12\ for the reasons described below.
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    \11\ 15 U.S.C. 78q-1(b)(3)(F).
    \12\ 17 CFR 240.17Ad-22(e)(17)(i) and (e)(17)(ii).
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    Section 17A(b)(3)(F) of the Act requires that the rules of DTC be 
designed to, among other things, promote the prompt and accurate 
clearance and settlement of securities transactions and assure the 
safeguarding of securities and funds which are in the custody or 
control of the clearing agency or for which it is responsible.\13\
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    \13\ 15 U.S.C. 78q-1(b)(3)(F).
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    As described above, the proposed requirement that Participants, 
Pledgees and applicants provide a Cybersecurity Confirmation regarding 
their cybersecurity program that includes the representations described 
above would provide DTC with evidence of each Participant's, Pledgee's 
or applicant's management of endpoint security with respect to the 
SMART network or other connectivity and would enhance the protection of 
DTC against cyberattacks. The proposed Cybersecurity Confirmation would 
provide DTC with information that it could use to make decisions about 
risks or threats, perform additional monitoring, target potential 
vulnerabilities, and protect the DTC network. The proposed 
Cybersecurity Confirmation would give DTC the ability to further 
identify its exposure and enable it to take steps to mitigate risks. 
These requirements would help reduce risk to DTC's network with respect 
to its communications with Participants and Pledgees and their 
submission of instructions and transactions to DTC by requiring all 
Participants and Pledgees connecting to DTC to have appropriate 
cybersecurity programs in place.
    Risks, threats and potential vulnerabilities could impact DTC's 
ability to clear and settle securities transactions, or to safeguard 
the securities and funds which are in its custody or control, or for 
which it is responsible. Therefore, by implementing a tool that would 
help to mitigate these risks, DTC believes the proposal would promote 
the prompt and accurate clearance and settlement of securities 
transactions and assure the safeguarding of securities and funds which 
are in the custody or control of the clearing agency or for which it is 
responsible, consistent with the requirements of Section 17A(b)(3)(F) 
of the Act.\14\
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    \14\ Id.
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    Rule 17Ad-22(e)(17)(i) under the Act requires that each covered 
clearing agency establish, implement, maintain and enforce written 
policies and procedures reasonably designed to manage the covered 
clearing agency's operational risks by identifying the plausible 
sources of operational risk, both internal and external, and mitigating 
their impact through the use of appropriate systems, policies, 
procedures, and controls.\15\ The proposed Cybersecurity Confirmation 
would reduce cybersecurity risks to DTC by requiring all Participants, 
Pledgees and applicants to confirm they have defined and maintain 
cybersecurity programs that meet standard industry best practices and 
guidelines. The proposed representations in the Cybersecurity 
Confirmations would help DTC to mitigate its exposure to cybersecurity 
risk and, thereby, decrease the operational risks to DTC that are 
presented by connections to DTC through the SMART network or otherwise. 
The proposed Cybersecurity Confirmations would identify to DTC 
potential sources of external operational risks and enable it to 
mitigate these risks and their possible impacts to DTC's operations. As 
a result, DTC believes the proposal is consistent with the requirements 
of Rule 17Ad-22(e)(17)(i) under the Act.\16\
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    \15\ 17 CFR 240.17Ad-22(e)(17)(i).
    \16\ Id.
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    Rule 17Ad-22(e)(17)(ii) under the Act requires that each covered 
clearing agency establish, implement, maintain and enforce written 
policies and procedures reasonably designed to manage the covered 
clearing agency's operational risks by ensuring, in part, that systems 
have a high degree of security, resiliency, and operational 
reliability.\17\ The proposed Cybersecurity Confirmation would enhance 
the security, resiliency, and operational reliability of the endpoint 
security with respect to the SMART network or other connectivity 
because, as noted above, by making the Cybersecurity Confirmation an 
application requirement and an ongoing membership requirement, DTC 
would be able to prevent the connection by any applicant, and take 
action against any Participant and Pledgee, that may pose an increased 
cyber risk to DTC by not having a defined and ongoing cybersecurity 
program that meets appropriate standards. Participants, Pledgees or 
applicants that are not in alignment with a recognized framework, 
guideline, or standard that DTC believes is adequate to guide and 
assess such organization's cybersecurity program may present increased 
risk to DTC. By enabling DTC to identify these risks, the proposed 
changes would allow DTC to more effectively secure its environment 
against potential vulnerabilities. DTC's controls are strengthened when 
DTC's Participants and Pledgees have similar technology risk management 
controls and programs within their computing environment. Control 
weaknesses within a Participant's or Pledgee's environment could allow 
for malicious or unauthorized usage of the link between DTC and the 
Participant or Pledgee. As a result, DTC believes the proposal would 
improve DTC's ability to ensure that its systems have a high degree of 
security, resiliency, and operational reliability, and, as such, is

[[Page 58193]]

consistent with the requirements of Rule 17Ad-22(e)(17)(ii) under the 
Act.\18\
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    \17\ 17 CFR 240.17Ad-22(e)(17)(ii).
    \18\ Id.
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(B) Clearing Agency's Statement on Burden on Competition

    DTC believes the proposed rule change could have an impact on 
competition. Specifically, DTC believes that the proposed rule change 
could burden competition because it would require Participants, 
Pledgees and applicants that do not already have cybersecurity programs 
that meet the standards set out in the Cybersecurity Confirmation to 
incur additional costs including, but not limited to, establishing a 
cybersecurity program and framework, engaging an internal audit 
function or appropriate third party to review that program and 
framework, and remediating any findings from such review. In addition, 
those Participants, Pledgees and applicants that do not connect 
directly to the SMART network, but connect through a third party 
service provider or service bureau would have the additional burden of 
evaluating the cyber risks and impact of these third parties and 
reviewing the third party's assurance reports.
    DTC believes the above described burden on competition that could 
be created by the proposed changes would be both necessary and 
appropriate in furtherance of the purposes of the Act, as permitted by 
Section 17A(b)(3)(I) of the Act, for the reasons described below.\19\
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    \19\ 15 U.S.C. 78q-1(b)(3)(I).
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    First, DTC believes the proposed rule change would be necessary in 
furtherance of the Act, specifically Section 17A(b)(3)(F) of the Act, 
because the Rules must be designed to promote the prompt and accurate 
clearance and settlement of securities transactions and assure the 
safeguarding of securities and funds which are in the custody or 
control of the clearing agency or for which it is responsible.\20\ By 
requiring that applicants, Participants and Pledgees provide a 
Cybersecurity Confirmation, the proposed rule change would allow DTC to 
better understand, assess, and, therefore, mitigate the cyber risks 
that DTC could face through its connections to its Participants and 
Pledgees. As described above, these risks could impact DTC's ability to 
clear and settle securities transactions, or to safeguard the 
securities and funds which are in DTC's custody or control, or for 
which it is responsible. Implementing a tool as described above would 
help to mitigate these risks, and therefore DTC believes the proposal 
is necessary in furtherance of the requirements of Section 17A(b)(3)(F) 
of the Act.\21\
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    \20\ 15 U.S.C. 78q-1(b)(3)(F).
    \21\ Id.
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    The proposed changes are also necessary in furtherance of the 
purposes of Rules 17Ad-22(e)(17)(i) and (e)(17)(ii) under the Act.\22\ 
The proposed Cybersecurity Confirmations would identify to DTC 
potential sources of external operational risks and allow it to 
establish appropriate controls that would mitigate these risks and 
their possible impacts to DTC's operations. The proposed changes would 
also improve DTC's ability to ensure that its systems have a high 
degree of security, by enabling DTC to identify the cybersecurity risks 
that may be presented to it by Participants and Pledgees that connect 
to DTC.
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    \22\ 17 CFR 240.17Ad-22(e)(17)(i) and (e)(17)(ii).
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    Second, DTC believes that the proposed rule change would be 
appropriate in furtherance of the purposes of the Act. The proposed 
rule change would apply equally to all Participants, Pledgees and 
applicants. As described above, DTC believes Participants and Pledgees 
may already be subject to one or more regulatory requirements that 
include the implementation of a cybersecurity program, and these firms 
would already follow a widely recognized framework, guideline, or 
standard to guide and assess their organization's cybersecurity program 
to comply with these regulations. Therefore, DTC believes any burden 
that may be imposed by the proposed rule change would be appropriate.
    Further, while the proposed Cybersecurity Confirmation would 
identify certain standards and guidelines that would be appropriate, 
DTC would consider requests by applicants, Participants and Pledgees to 
allow other standards in accepting a Cybersecurity Confirmation. 
Additionally, the proposed Cybersecurity Confirmation would provide 
differing options to conduct the review of the applicant's, 
Participant's or Pledgee's cybersecurity program. As such, DTC has 
endeavored to design the Cybersecurity Confirmation in a way that is 
reasonable and does not require one approach for meeting its 
requirements.
    Finally, DTC is proposing to provide Participants and Pledgees with 
a minimum of 180 calendar days' notice before the deadline for 
providing a Cybersecurity Confirmation. This notice would allow 
Participants and Pledgees to address any impact this change may have on 
their business. Applicants to be Participants or Pledgees would be 
required to provide the Cybersecurity Confirmation as part of their 
application materials upon the effective date of this proposed rule 
change. This implementation schedule is designed to be fair and not 
disproportionately impact any Participants or Pledgees more than 
others. The proposal is designed to provide all impacted Participants 
and Pledgees with time to review their cybersecurity programs with 
respect to the required representations, and identify, if necessary, 
internal or third party cybersecurity reviewers.
    For the reasons described above, DTC believes any burden on 
competition that may result from the proposed rule change would be both 
necessary and appropriate in furtherance of the purposes of the Act, as 
permitted by Section 17A(b)(3)(I) of the Act.\23\
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    \23\ 15 U.S.C. 78q-1(b)(3)(I).
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(C) Clearing Agency's Statement on Comments on the Proposed Rule Change 
Received From Members, Participants, or Others

    DTC has not solicited or received any written comments relating to 
this proposal. DTC will notify the Commission of any written comments 
received.

III. Date of Effectiveness of the Proposed Rule Change, and Timing for 
Commission Action

    Within 45 days of the date of publication of this notice in the 
Federal Register or within such longer period up to 90 days (i) as the 
Commission may designate if it finds such longer period to be 
appropriate and publishes its reasons for so finding or (ii) as to 
which the self-regulatory organization consents, the Commission will:
    (A) By order approve or disapprove such proposed rule change, or
    (B) institute proceedings to determine whether the proposed rule 
change should be disapproved.

IV. Solicitation of Comments

    Interested persons are invited to submit written data, views and 
arguments concerning the foregoing, including whether the proposed rule 
change is consistent with the Act. Comments may be submitted by any of 
the following methods:

Electronic Comments

     Use the Commission's internet comment form (http://www.sec.gov/rules/sro.shtml); or

[[Page 58194]]

     Send an email to rule-comments@sec.gov. Please include 
File Number SR-DTC-2019-008 on the subject line.

Paper Comments

     Send paper comments in triplicate to Secretary, Securities 
and Exchange Commission, 100 F Street NE, Washington, DC 20549.

All submissions should refer to File Number SR-DTC-2019-008. This file 
number should be included on the subject line if email is used. To help 
the Commission process and review your comments more efficiently, 
please use only one method. The Commission will post all comments on 
the Commission's internet website (http://www.sec.gov/rules/sro.shtml). 
Copies of the submission, all subsequent amendments, all written 
statements with respect to the proposed rule change that are filed with 
the Commission, and all written communications relating to the proposed 
rule change between the Commission and any person, other than those 
that may be withheld from the public in accordance with the provisions 
of 5 U.S.C. 552, will be available for website viewing and printing in 
the Commission's Public Reference Room, 100 F Street, NE, Washington, 
DC 20549 on official business days between the hours of 10:00 a.m. and 
3:00 p.m. Copies of the filing also will be available for inspection 
and copying at the principal office of DTC and on DTCC's website 
(http://dtcc.com/legal/sec-rule-filings.aspx). All comments received 
will be posted without change. Persons submitting comments are 
cautioned that we do not redact or edit personal identifying 
information from comment submissions. You should submit only 
information that you wish to make available publicly. All submissions 
should refer to File Number SR-DTC-2019-008 and should be submitted on 
or before November 20, 2019.
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    \24\ 17 CFR 200.30-3(a)(12).

    For the Commission, by the Division of Trading and Markets, 
pursuant to delegated authority.\24\
Eduardo A. Aleman,
Deputy Secretary.
[FR Doc. 2019-23629 Filed 10-29-19; 8:45 am]
 BILLING CODE 8011-01-P


