Web API creating API keys

You are able to achieve by using HMAC Authentication. Basically, there might be a database table called ApiKey (apiKey, secretKey). Each client has each Apikey and secret Key:

  1. ApiKey is like a public key and will be sent over HTTP (similar with username).

  2. Secret Key is not sent over HTTP, use this secret key to do hmac some information and send hashed output to the server. From server side, based on the public key, you can get the relevent secret key and hash information to compare with hash output.

I have posted the detailed answer at: How to secure an ASP.NET Web API

You can change Username by ApiKey and Hashed Password by secret key on my answer to map with your idea.