As a means of adding value, chicken foot broth byproduct can be processed to obtain calcium and bioactive peptides from the separated bones and meat residues. In this study, cleaned, dried, and powdered bones yielded 31.4 ± 0.6% calcium content. The meat residues were hydrolyzed to obtain over a hundred distinctive peptides, which were analyzed using LC-MS/MS and the SpirPep web-based tool. The peptides were rich in Glu, Asp, Lys, Gly and Leu, and also exhibited diverse bioactivities, among them primarily inhibition of dipeptidyl peptidase IV and angiotensin-converting enzyme. Calcium chelation assay determined the peptides to bind calcium at 235.7 ± 20.0 mg/g peptide-calcium chelate. Caco-2 cells treated with the chelate at calcium concentrations of 0–10 mM exhibited enhanced absorption relative to CaCl2. This demonstrates that calcium and chelating peptides generated from the same byproduct can produce peptide-calcium chelate, a potential ingredient in functional foods.