Admissible instruments

Overview of eligible asset classes, including shares, funds, and bonds, along with their specific conditions for listing on 21X.

Shares

• Eligibility: Shares with a market capitalization (or tentative market capitalization) of less than EUR 500 million.

• Legal Qualification: Must represent equity ownership, be transferable, and tradable on capital markets in accordance with MiFID II.

• Additional Requirements: Defined in Rulebook section 3.4.

Funds

• Eligibility: Fund shares classified as UCITS (Undertakings for Collective Investment in Transferable Securities) under Directive 2009/65/EC.

• Classification: Deemed as fund units according to Art. 3(1) c) DLTR.

• AuM Requirement: Must be below EUR 500 million at the point of admission to trading.

Bonds and Other Securitized Debt

• Eligibility: Bonds, securitized debt, and money market instruments with an issue size of less than EUR 1 billion.

• Exclusions: Instruments that embed a derivative or have complex structures that make it difficult to understand the risk.

• Additional Requirements: Defined in Rulebook section 3.5.

FAQ

Can I list natively tokenized stocks?

Yes, 21X can list natively tokenized shares (dematerialized shares) as well as digital twins. Digital twins are usually classified as debt instruments (see section 1.3).

Can I list tokenized stocks of blue-chip companies?

Yes, however, these need to be structured as debt instruments (e.g., exchange-traded notes) and would classify under the listing requirements of bonds and other securitized debt (see section 1.3), thus not falling under the market capitalization restriction for tokenized shares.

What assets are considered shares in the context of these listing requirements?

Art. 3(1) a) DLTR does not explicitly exclude specific types of shares. The respective national securities laws under which the financial instruments are governed determine if the product is classified as a share or not.

Can the AuM of the Sub-fund grow over EUR 500 million after admission to trading?

Yes, the AuM of the respective Sub-fund is only relevant at the point of admission.

Can I list ETFs on 21X?

Yes, 21X can list exchange-traded funds (ETFs) that comply with the framework of UCITS-Regulation. Exchange-traded products (ETPs) classified as notes (ETNs) need to fulfill the requirements of section 1.3 under securitized debt.

Does 21X provide end-to-end services for tokenized funds?

Yes, asset managers can sub-advise UCITS funds, natively tokenized, distributed, and listed on 21X where 21X will coordinate with partners where necessary.

Does 21X provide end-to-end services for tokenized debt instruments?

Yes, 21X can set up, distribute, and list tokenized debt instruments in the form of structured notes or ETNs and will coordinate with partners where necessary.

What constitutes a debt that that embed a derivative or have complex structures that make it difficult to understand the risk?

For the admissibility of complex debt instruments please ask your customer success representative or listing sponsor.