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Alpaca plans prime brokerage launch in 2027 for tokenised equities
Alpaca said its underlying US equity holdings backing tokenised products have risen eightfold over the past year, and it plans to use the new unit to expand financing and securities lending.
US brokerage technology firm Alpaca plans to launch a prime brokerage business in the first quarter of 2027, aiming to meet rising demand from hedge funds and institutional investors trading across both cryptocurrency and traditional equity markets, according to a Bloomberg report cited by Hedgeweek.
Alpaca, based in California, currently provides trading and custody infrastructure and said it wants to expand into financing, securities lending and other prime brokerage services as tokenised equities gain traction, with Chief Executive Yoshi Yokokawa saying the goal is to improve capital efficiency for institutional investors managing positions across digital asset platforms and conventional exchanges.
The report says prime brokerage could become more important as trading firms look to hedge tokenised equity positions against underlying shares or derivatives across different venues.
Alpaca currently holds more than $3.5 billion in underlying US equities backing tokenised products issued by more than 10 companies, including Binance, Coinbase and Crypto.com, and Yokokawa said the value of those holdings has increased eightfold over the past year.