ABN AMRO, 21X Conduct Onchain Trade of Tokenized Assets Against Stablecoins

Key Points

  • Dutch bank ABN AMRO and Germany-regulated 21X completed a joint proof of concept (PoC) for tokenized asset trading on the Polygon Amoy Testnet.
  • The PoC involved trading tokenized cash against a tokenized asset in a single transaction using 21X's on-chain order book smart contract.
  • 21X, a blockchain-based exchange, received regulatory approval from BaFin in December, facilitating partnerships with traditional financial firms.

Summary

ABN AMRO, a Dutch bank, and 21X, a Frankfurt-based blockchain exchange, have successfully completed a proof of concept (PoC) for trading tokenized assets against stablecoins on the Polygon Amoy Testnet. This initiative involved the deployment of 21X's on-chain order book smart contract, which allowed for the seamless trading of tokenized cash against a tokenized asset in a single transaction. This development is part of a broader trend where traditional financial institutions are exploring blockchain technology for tokenization, which involves representing real-world assets like stocks or bonds as tokens on a blockchain. The regulatory approval received by 21X from Germany's BaFin in December signifies a growing acceptance of blockchain-native companies in major financial centers, thereby encouraging traditional finance (TradFi) firms to engage in partnerships to further their tokenization strategies. This collaboration highlights the potential for blockchain technology to revolutionize asset trading and management in the financial sector.

coindesk
January 30, 2025
Crypto
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