German-based 21X obtains EU license, eyes tokenization platform [Video]

21X, a Germany-based financial institution, has been licensed to operate a blockchain-based trading and settlement system under extant European Union (EU) rules.

The company announced it had received full approval from Germany’s leading financial authority, BaFIN, after 18 months of regulatory scrutiny. The license issuance is the first of its kind and will see 21X wade into tokenized securities as a major service provider in the region.

The license complies with the legal framework provided by the EU’s DLT Pilot Regime, a rulebook establishing the guidelines for new financial market infrastructures revolving around blockchain. 

Launching in 2025, the German-based 21X is the first firm to clinch an operational license under its parameters, collaborating with the European Central Bank (ECB) and the European Securities and Markets Authority (ESMA).

21X says it will roll out a trading platform for tokenized financial instruments with a commercial rollout earmarked for Q1 of 2025. Designed for institutional and retail traders, the …