Peter Zhang
Jun 03, 2026 15:28
Binance and Alpaca agree to split revenue on tokenized US stocks, expanding Binance’s push into equities trading with a focus on monetization.
Binance has disclosed details of its revenue-sharing deal with brokerage infrastructure provider Alpaca, marking a significant move in its expansion into traditional equities and tokenized stocks. According to updated trading terms published on June 2, 2026, Binance will receive 50% of Alpaca’s payment-for-order-flow (PFOF) fees and 65% of the profit from user stock lending after interest payments are deducted.
This partnership underpins Binance’s new equities trading product, which launched on June 1, 2026, and offers access to more than 7,000 U.S.-listed stocks and ETFs. Alpaca, an SEC-registered broker-dealer and dominant player in the tokenized U.S. stock market, handles the execution, clearing, settlement, and custody for the platform. Alpaca reportedly controls 94% of the tokenized U.S. stock market, with $480 million in assets under custody as of December 2025, out of a total market size of $1.62 billion.
Alpaca has also been scaling rapidly. In January 2026, the company raised $150 million at a $1.15 billion valuation, a testament to its growing role as a global brokerage infrastructure provider. Its revenue streams include PFOF agreements, commissions, API fees, and interest on margin trading.
The new Binance-Alpaca collaboration shows how crypto exchanges are increasingly blending traditional finance with blockchain technology. Binance has already signaled plans to tokenize these stocks for on-chain trading under its upcoming bStocks product, further blurring the lines between crypto and equities.
Broader Market Trends in Tokenized Stocks
The tokenized stock market is growing, with its total value rising 29% over the past 30 days, according to data provider RWA.xyz. However, trading activity has slowed, with monthly active addresses dropping 77% to just 31,877, suggesting most investors are holding rather than actively trading these assets. Despite this, the number of unique holders rose by 35% to 304,700, indicating rising interest in these products as a long-term investment vehicle.
Alpaca’s dominant market position gives Binance a strong partner to execute its equities strategy. By integrating tokenized stock trading into its platform, Binance is positioning itself as a multi-asset hub, aiming to capture demand from crypto-native users and traditional retail investors alike.
Competition Heats Up
Binance isn’t the only crypto exchange betting on tokenized stocks. Kraken, Bitpanda, and Bitget have all launched U.S. equities trading products in recent months, each with unique offerings. Kraken, for example, introduced a commission-free trading service for 11,000 stocks and ETFs earlier this year. Bitget and Binance have even ventured into pre-IPO products, offering investors exposure to companies like SpaceX before public listing.
As more exchanges enter the tokenized stock market, the competition to attract both traditional and crypto-savvy investors will intensify. Binance’s revenue-sharing arrangement with Alpaca, combined with its large user base, gives it a competitive edge in monetizing this fast-growing sector.
Implications for ALPACA Token Holders
While Alpaca Finance, the DeFi protocol behind the ALPACA token, shares the same name as Alpaca Securities, the two entities are distinct. Alpaca Finance has struggled since Binance delisted its token in 2025, leading to a phased wind-down of its operations. As of June 3, 2026, the ALPACA token trades at $0.00093455 with a market cap of just $111,436, reflecting its diminished role in the ecosystem.
For traders, the interplay between Binance’s equities expansion and Alpaca’s infrastructure dominance presents opportunities to monitor tokenized stock flows and broader market adoption. As traditional finance continues to merge with blockchain, Binance’s moves will likely set the pace for innovation in this space.
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