Younger Americans Prefer Crypto Over Traditional Banks

A recent survey reveals a significant divide in financial preferences between younger and older Americans. The findings indicate that younger individuals, particularly Gen Z and Millennials, are increasingly trusting and investing in cryptocurrency. In contrast, older generations, especially Baby Boomers, remain loyal to traditional banks. The survey, which gathered responses from 1, 000 Americans in January, showed that 40% of Gen Z and 41% of Millennials have high confidence in crypto platforms. This is a stark contrast to only 9% of Baby Boomers who feel the same way. Instead, 74% of Boomers trust traditional banks, while younger generations are more skeptical, with about one in five expressing low trust in banks. Confidence in crypto among younger people is growing. Compared to January 2025, 36% of Gen Z and 34% of Millennials reported increased trust in crypto platforms. Boomers, however, showed little change, with nearly half stating their views had not shifted and only 6% reporting greater confidence. Looking ahead to 2026, trading plans reflect this sentiment. Forty percent of Gen Z and 36% of Millennials plan to increase their crypto activity this year, compared to just 11% of Boomers. This nearly fourfold difference highlights the optimism of younger generations towards crypto.The trust gap between generations is rooted in different definitions of trust. Boomers tend to associate financial trust with institutional approval and regulatory oversight, while younger generations value verification, transparency, and direct control. Regulation is more important to Boomers because their trust model is tied to oversight and institutional legitimacy. Clearer rules and improved regulatory frameworks could help reduce hesitation, especially around consumer protection, custody standards, and market integrity. The generational split in financial preferences may also explain why some industry executives view crypto’s long-term adoption as a question of timing. As older, more crypto-averse generations pass on assets, younger heirs are likely to allocate capital to crypto. UBS estimates that Americans hold $163 trillion in total wealth, with Boomers controlling more than half, or $83. 3 trillion. Once this capital begins moving to younger generations, even a modest reallocation toward crypto could have a significant impact on adoption.