The invention provides an extraction and purification method of water-soluble total alkaloid with an alpha-glycosidase activity inhibition function from mulberry branch bark and application of the water-soluble total alkaloid. The purification method comprises the following steps: based on the mulberry branch bark as a raw material, adding an extraction solvent (water and ethanol at a ratio of 100-20 percent to 0-80 percent), extracting, heating and refluxing, filtering, repeatedly extracting twice, combining two filtrates, and concentrating; adding 75-100 percent methanol or ethanol by volume, and performing alcohol precipitation at a temperature of between 4 and 30 DEG C; centrifuging or filtering to remove residues and insoluble substances, collecting the supernatant after alcohol precipitation and concentration, purifying through a cation exchange resin column, washing non-adsorbed impurities with deionized water, and eluting with 0.2 to 2mol of ammonia water; passing the eluate through an anoin exchange resin, washing with deionized water, collecting the non-adsorbed part, and regulating the pH to 8; filtering with a membrane, drying the filtrate to prepare powder, namely light-yellow water-soluble total alkaloid extract, wherein the extract can inhibit the activity of alpha-glycosidase, and the content of DNJ (1-deoxynojirimycin) is between 50 and 70 percent.