Binance has announced a landmark partnership with brokerage firm Alpaca to offer trading in US stocks and ETFs directly on its platform. The move, disclosed in updated Securities Trading Terms issued by Binance’s ADGM-regulated entity NEST Trading Limited, grants users access to more than 7,000 US-listed securities with as little as $5 and the ability to fund trades using stablecoins such as USDC, USDT, BNB, and USD1.
The partnership is notable for Alpaca’s dominant position—holding approximately 94% market share in the custody of tokenized US stocks and ETFs. Binance also revealed it holds a minority stake in Alpaca, and the two firms have agreed to a revenue-sharing arrangement: Binance will receive 50% of the payment for order flow (PFOF) revenue generated by Alpaca from execution of customer orders. Additionally, Binance will take 65% of excess profits from securities lending after customer interest payments.
The terms acknowledge a potential conflict of interest due to the financial incentive to retain Alpaca, but Binance states this is managed through best-execution criteria, Alpaca’s independent regulatory obligations, and ongoing monitoring of execution quality against the National Best Bid and Offer (NBBO). Custody is structured via a single omnibus brokerage account in NEST Trading Limited’s name, with customer assets pooled under ADGM safe-custody protections.
The launch marks a significant step in Binance’s evolution into a multi-asset financial platform and comes as the exchange prepares a future offering of tokenized US securities called “bStocks.” It underscores the accelerating convergence of traditional finance and digital assets.
