For 1. FC Nuremberg it was the second national championship, having won the competition in the previous season as well. Nuremberg thereby became the first team to successfully defend their title. It was part of Nuremberg's most successful era where the club won five titles in eight seasons from 1920 to 1927, missing out on a sixth one in the inconclusive 1922 championship. For Vorwärts Berlin it marked the clubs sole German championship final. The club, being unrelated to the East German club ASK Vorwärts Berlin, later merged with 1905 champions Union 92 Berlin to form SpVgg Blau-Weiß 1890 Berlin.
Nuremberg's Luitpold Popp was the top scorer of the 1921 championship with five goals.
Seven clubs qualified for the knock-out competition, nominally the champions of each of the seven regional football championships. However, the Baltic championship was later awarded to a different club, the VfB Königsberg.