Monetize the API economy

APIs are the backbone of modern software, but monetizing API access -- especially from AI agents -- is an unsolved problem. The current approaches fail in predictable ways:

• Rate limiting loses revenue. When you throttle automated traffic, you cap usage instead of capturing value. Every blocked request is a transaction you could have charged for.
• Bot blocking alienates users. AI agents and automated integrations are the fastest-growing segment of API consumers. Blocking them means turning away your best customers.
• Custom billing is expensive. Building metered billing, API key management, and quota enforcement from scratch takes months of engineering time and ongoing maintenance.

PayFence is a paywall and quota gateway deployed as a proxy or middleware. It sits in the request path, validates every incoming call against a paid subscription, and enforces quotas in real time.

• One line to integrate. Point DNS at our proxy or drop in the middleware SDK. No changes to your API logic required.
• Stripe for payments. Subscriptions, invoicing, and payouts all run through Stripe Connect. Revenue flows directly to the API owner's Stripe account.
• Real-time enforcement. Every request is evaluated in milliseconds. Valid token, active subscription, quota remaining -- allow. Otherwise, deny with a clear response.

AI agents are exploding. LLMs are calling APIs, invoking MCP tools, and consuming web services at unprecedented scale. Every API will need to handle automated access -- and the ones that charge for it will win.

The Model Context Protocol (MCP) is establishing a standard for AI-to-tool communication, creating a massive new surface area for monetizable tool calls. The window to own the access control and monetization layer for this ecosystem is open now.

API monetization infrastructure has not kept pace with the explosion of AI-driven consumption. The market needs a purpose-built solution, and PayFence is first to market.

PayFence generates revenue through two complementary streams:

• Platform fee on transactions. A percentage-based fee on every payment processed through PayFence between API owners and their end customers. Revenue scales directly with customer transaction volume.
• Tiered SaaS subscription. Monthly or annual subscription for access to the PayFence dashboard, analytics, advanced features, and higher usage tiers. Plans range from a free tier for individual developers to enterprise plans with dedicated support.

This dual revenue model provides predictable SaaS recurring revenue while also capturing upside as the total transaction volume on the platform grows.