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21X selects eflow Global’s regulatory technology as it builds Europe’s first fully regulated DLT exchange

Written by Sam Roberts

21X selects eflow Global’s regulatory technology as it builds  Europe’s first fully regulated DLT exchange

London, UK: Thursday 13 June 2024: UK-based RegTech (Regulatory Technology) scaleup eflow Global today announces that its award-winning digital compliance tools have been selected by Frankfurt-based fintech 21X to underpin its regulatory compliance strategy.

21X has implemented eflow’s solutions for trade surveillance, best execution and transaction reporting to support its mission to build Europe’s first fully regulated Distributed Ledger Technology (DLT) exchange infrastructure for security tokens and crypto assets. The use of eflow’s integrated systems has enabled 21X to streamline its operational processes while meeting the firm’s requirement for stringent regulatory controls.

With 21X being regulated as a financial institution, it will be expected to meet the highest standards of compliance set by regulatory bodies. This meant that it was critically important for 21X to select a technology partner that was able to meet all of its regulatory technology requirements as it develops a trading system that is fully ESMA-regulated.

Max Heinzle, CEO at 21X, commented:

“21X has partnered with eflow as it has the market-leading tools to ensure we meet the exacting digital market infrastructure compliance and analysis demands of the regulator. We were particularly taken with eflow’s market behaviour analysis tools which examine market movements not just by looking at micro factors - company announcements, product news, and industry trends, for example - but also through global events - from earthquakes to national elections. This more holistic approach can be a better way to examine market activity to differentiate between standard market changes and fraudulent behaviour."

Heinzle added: “I also believe eflow’s approach to conducting its business closely aligns with our own as a dynamic start-up organisation with strong ambitions. This stage in a company’s development requires great flexibility, a can-do attitude and the right personnel to succeed. Especially in a fast-moving, nascent market environment, as it is for digital assets, you need to bond with like-minded pioneers like eflow.”

Ben Parker, CEO and Founder of eflow Global, commented:

“The regulatory landscape is evolving rapidly, with external threats, the role of AI and the sheer volume of upcoming regulations creating mounting pressure for businesses. 21X is at the forefront of innovation in the blockchain and crypto sectors and our partnership highlights the crucial importance of firms having a truly integrated regulatory solution as a way of staying ahead of the curve. We look forward to continuing to support the business as it continues to scale in the coming years.”