Gen Z and Millennials see crypto as future of finance, Boomers stick with banks

A recent cross-generational financial survey reveals a significant divergence in how different age groups perceive and utilize money, confirming a fundamental shift away from traditional institutions among younger consumers. While Generation Z and Millennials overwhelmingly view cryptocurrency and decentralized finance (DeFi) as the foundational elements of future finance, the Baby Boomer generation remains firmly anchored to established banks and conventional investment vehicles.

The findings indicate that younger generations—often termed ‘digital natives’—are actively embracing digital assets due to perceived benefits like greater transparency, lower transaction fees, and the democratization of wealth creation. Approximately 65% of Millennials and Gen Z respondents reported holding some form of cryptocurrency, driven by skepticism towards legacy banking systems viewed as costly and inefficient. This cohort prioritizes self-custody and autonomy over centralized control, viewing crypto volatility not as a deterrent but as a characteristic of a nascent, revolutionary market.

In stark contrast, Baby Boomers demonstrate overwhelming skepticism toward digital currencies. Over 75% of Boomer respondents stated their primary wealth preservation strategies rely on traditional insured savings accounts, real estate, and regulated bonds. For this demographic, trust is built upon established regulatory frameworks and physical bank infrastructure. Cryptocurrency is frequently dismissed as too complex, lacking security guarantees, and burdened by regulatory uncertainty, cementing their reliance on traditional banking relationships.

This profound generational divide poses a crucial strategic challenge for the financial sector. As massive wealth transfer occurs over the coming decades, institutions that fail to integrate blockchain technology and provide robust, seamless crypto access risk marginalization, as the next generation of wealth holders clearly believes the future of financial prosperity lies outside the traditional banking ecosystem.

Source: Gen Z and Millennials see crypto as future of finance, Boomers stick with banks