Today Germany’s 21X announced its first live operations. A new US dollar yield token, the US Money-Black Manta USD Short Term Yield (USMO), will be listed and is available for issuance and redemption via 21X. But it can’t yet be traded. USMO is backed by the Ireland registered UBS (Irl) Select Money Market Fund, which has a total issuance of more than $10 billion across all share classes.
21X is the first trading and settlement venue authorized under the EUs’s DLT Pilot Regime, with payment using stablecoins. MiFiD regulated broker Black Manta Capital Partners is the issuer and performs the securitization and Singapore’s SBI Digital Markets takes on the role of tokenization and distribution in Asia.
A key innovation of the DLT Pilot Regime is that a single venue can provide both trading and settlement, and there is no central securities depository (CSD), although the venue performs some of the roles of a CSD. The law also allows direct access to the platform by retail investors, whereas conventional trading venues require brokers. However, at this stage 21X is only open to institutional and professional investors.
“We are proud to see the primary market open for the first product on 21X. Together with our partners Black Manta Capital and SBI DM, we have planned to list a range of tokenized assets, offering tokenized funds and debt instruments to our professional and institutional customer base,” said Max Heinzle, founder and CEO of 21X.
The company recently announced several relationships in the run up to launch. This includes trials with ABN AMRO, a partnership with APEX, a new stablecoin relationship with Tether backed Quantoz and a tie up with Dusk to become the second supported blockchain after Polygon.
