Alpaca

Alpaca is a stock trading API platform which enables FinTechs to build apps that embed stock brokering. The platform does not charge commissions on trades, instead, it generates revenue by routing order flow through specific market makers. This means an increase in the trading volume diverted through its platform translates to an increase in revenue.

Alpaca’s platform provides developers a range of integrations with several apps including Slack, IFTTT, Streak, and Alexa, and began securing tech partners at the beginning of 2021.

Alpaca acquired AlpacaJapan , a Japanese licensed broker-dealer, for an undisclosed sum in July 2022. Through the acquisition, Alpaca will offer brokerage and trading APIs in Japan, allowing Japanese financial advisors, traders, and developers to enable their customers to invest in the US stock market.

As of October 2023, the platform supported businesses in 30 countries including Turkey, Saudi Arabia, Indonesia, Thailand, and India with over 150 businesses operating through its API-based brokerage platform serving over 5 million end-users.

Key customers and partnerships

In October 2023, Alpaca partnered with SBI Group , a Japanese financial services firm, to support its business expansion plans and facilitate financial institutions on the clearing and trade execution of US securities in Asia. Alpaca partnered with financial media outlet Benzinga, in March 2022, to enable Alpaca users to provide end users with access to real-time news and data. Leveraging Benzinga’s APIs, Alpaca developers can offer news notifications, widgets, and breaking headlines, into their apps, while algorithmic traders can access historical news data, for backtesting and sentiment analysis.

Alpaca noted that its monthly trading volume rose around 10x year-over-year (YoY) to USD 2 billion in September 2020. In August 2021, the company reported that the number of brokerage accounts handled by the platform increased 1,500% year-to-date to over 100,000 accounts.