Alpaca raises $50M to rapidly scale its API-delivered equities trading business

  • Alpaca offers equities trading software via API. The company initially allowed firms to plug into its technology, powering the trading capabilities of investing groups.
  • More recently, Alpaca has begun allowing other fintech companies to offer equities trading through its service to their consumer user bases, work that fits under the larger embedded finance trend.
  • Yokokawa declined to share the PFOF split with customers, but our guess is that something around 15% to 25% makes sense, providing incentives to potential partners to choose Alpaca over rival tech while keeping enough top line on the Alpaca side of the ledger to continue building a venture-scale business.


Sign Up for nextbigwhat newsletter

The smartest newsletter, partly written by AI.

Download, the short news app for busy professionals