Binance Reveals Revenue-Sharing Deal With Alpaca as Tokenized Stock Market Expands

Binance has disclosed a revenue sharing agreement with brokerage infrastructure provider Alpaca, offering new insight into how the crypto exchange plans to generate income from its growing stock and exchange traded fund (ETF) business.

According to Binance Securities Trading Terms published on June 3, Binance will receive 50% of Alpaca’s payment-for-order-flow (PFOF) revenue. The agreement also gives Binance 65% of profits generated from user stock lending after investors receive their interest payments.

Alpaca currently provides brokerage, clearing and custody infrastructure for Binance’s stock trading services and plays a major role in the custody of tokenized US stocks and ETFs.

Tokenized Stock Market Continues Growing

The disclosure comes as Binance expands beyond digital assets and offers access to more than 7,000 US-listed stocks and ETFs. The company has also previewed a future tokenized stock product known as bStocks.

Alpaca has become a major player in the sector after raising $150 million in funding earlier this year at a valuation of $1.15 billion. As of December 2025, the company held $480 million in assets under custody, representing roughly 29% of the $1.62 billion tokenized stock market.

Recent industry data shows the value of tokenized stocks increased around 29% over the past month, while the number of holders climbed 35% to 304,700. However, active trading activity declined sharply, suggesting many investors are choosing to hold their assets rather than trade frequently.

Competition in Tokenized Stocks Intensifies

Major cryptocurrency exchanges are increasingly moving into tokenized equities and ETF products. The trend reflects growing demand for blockchain based access to traditional financial markets.

Several exchanges have expanded their offerings in recent months, including products linked to private companies such as SpaceX, while others have launched thousands of commission-free stock and ETF trading options.

The latest Binance Alpaca agreement highlights how exchanges are building new revenue streams as tokenized securities continue gaining attention from investors worldwide.