Binance revenue-sharing deal with Alpaca for stock trading infrastructure
In brief
- Binance disclosed revenue-sharing deal with Alpaca for stock trading infrastructure and custody services.
- Binance receives 50% of order-flow fees and 65% of stock lending profits under the agreement.
- Alpaca holds $480 million in custody assets, representing 29% of the $1.62 billion tokenized stocks market.
- Binance launched access to 7,000+ US-listed stocks and ETFs via bStocks tokenized product.
Revenue structure
Binance will receive 50% of Alpaca's payment-for-order-flow fees and 65% of profit from user stock lending after the platform pays user interest. The arrangement reveals how Binance plans to capture returns from its push beyond cryptocurrency into regulated equities and ETFs.
Alpaca is a major infrastructure provider in tokenized US stocks and ETFs. The company raised $150 million at an $1.15 billion valuation for its brokerage infrastructure in January. Alpaca held $480 million in assets under custody as of December 2025, which represents a 29% market share of the $1.62 billion total value of tokenized stocks.
Market momentum
Binance launched access to more than 7,000 US-listed stocks and ETFs and is previewing a tokenized stock product called bStocks. The move follows similar expansions by competitors. Bitpanda expanded its offering to include about 10,000 stocks and ETFs in January, while Kraken launched 11,000 US-listed stocks and ETFs with commission-free trading in April 2025.
The tokenized stocks market has grown rapidly. The total value of tokenized stocks rose by around 29% during the past 30 days, and tokenized stock holders rose 35% to 304,700. However, engagement metrics show strain. Monthly active addresses for tokenized stocks declined by over 77% to 31,877, signaling that while the market is attracting new participants, active trading has contracted sharply.
Binance isn't alone in pursuing pre-IPO and tokenized equity products. Bitget launched a proxy offering tied to the pre-IPO phase of SpaceX in April, and Binance also launched a SpaceX-linked pre-IPO futures product on May 21.
