{"id":43307,"date":"2026-08-13T15:12:43","date_gmt":"2026-08-13T10:12:43","guid":{"rendered":"https:\/\/usnews-14267fa.ingress-comporellon.ewp.live\/?p=43307"},"modified":"2026-08-13T15:12:43","modified_gmt":"2026-08-13T10:12:43","slug":"why-gen-z-is-ditching-traditional-finance-for-crypto-and-social-apps","status":"publish","type":"post","link":"https:\/\/usnews-14267fa.ingress-comporellon.ewp.live\/?p=43307","title":{"rendered":"Why Gen Z is ditching traditional finance for crypto and social apps"},"content":{"rendered":"<p><script>\r\n  atOptions = {\r\n    'key' : '644b717812d811d6a1c1fc5b6ccd6fa6',\r\n    'format' : 'iframe',\r\n    'height' : 90,\r\n    'width' : 728,\r\n    'params' : {}\r\n  };\r\n<\/script>\r\n<script src=\"https:\/\/www.highperformanceformat.com\/644b717812d811d6a1c1fc5b6ccd6fa6\/invoke.js\"><\/script>\r\n<br \/>\n<\/p>\n<div>\n<p>\n        <iframe id=\"instaread_iframe\" width=\"100%\" height=\"100%\" scrolling=\"no\" frameborder=\"0\" loading=\"lazy\" title=\"Audio Article\" style=\"display:block\" data-pin-nopin=\"true\"><\/iframe>\n    <\/p>\n<p><\/instaread-player><\/p>\n<p>Generation Z has a growing reliance, enthusiasm and trust in crypto, creating a massive divide in where different generations invest their money.<\/p>\n<p>According to an\u00a0<a href=\"https:\/\/www.okx.com\/en-us\/learn\/crypto-age-gap\" target=\"_blank\" rel=\"noreferrer noopener\">OKX sponsored survey<\/a> conducted earlier this year, 40 percent of Gen Z and 41 percent of millennials said they feel confident about crypto platforms.<\/p>\n<aside class=\"ad-unit ad-unit--mr1_ab\">\n<\/aside>\n<p>On the flip side, only about 27 percent of Generation Xers and a slim 9 percent of baby boomers were crypto confident.<\/p>\n<p>It\u2019s a divide that is likely to only grow, as older generations generally stick with the banks they\u2019ve been using.<\/p>\n<p>Gen Z\u2019s trust in crypto platforms is also evident based on the percentage of the generation\u2019s digital portfolios and investment advisers.<\/p>\n<p>Previous <a href=\"https:\/\/www.forbes.com\/sites\/boazsobrado\/2025\/11\/19\/half-of-young-wealthy-investors-are-firing-their-advisors-over-crypto\/\" target=\"_blank\" rel=\"noreferrer noopener\">reporting\u00a0by Forbes<\/a> found that half of young wealthy investors have considered switching or have switched their financial advisers because they wouldn\u2019t support crypto investment.<\/p>\n<p>Looking at year-to-year comparisons, 36 percent of Gen Zers and 34 percent of millennials said their trust in cryptocurrency went up from 2025 to 2026.\u00a0Only 16 percent of Gen Xers and 6 percent of baby boomers said their confidence increased.<\/p>\n<p>Younger investors see the constant accessibility and easy-to-use tools as a better product than traditional banking. Older generations are worried about the security concerns associated with the easily accessible platforms, which is why trends show they stick with those companies.<\/p>\n<aside class=\"ad-unit ad-unit--mr2_ab\">\n<\/aside>\n<p>Seventy-one percent of baby boomers said they believe that banks aren\u2019t going anywhere and will continue to be a primary source in the financial systems, while more than half of Gen Zers said they will eventually be surpassed by crypto, Forbes stated.<\/p>\n<p>The OKX sponsored survey was conducted in January with 1,000 participants.<\/p>\n<p>\u00a0\u2014\u00a0<em>Joshua Feldstein<\/em><\/p>\n<aside class=\"ad-unit ad-unit--mr3_ab\">\n<\/aside>\n<h2 class=\"wp-block-heading\">Gen Z is years ahead on retirement investments<\/h2>\n<figure class=\"wp-block-image size-large\"><img loading=\"lazy\" decoding=\"async\" height=\"720\" width=\"1080\" src=\"https:\/\/thehill.com\/wp-content\/uploads\/sites\/2\/2026\/08\/AP22124622583389.jpg?w=900\" alt=\"\" class=\"wp-image-6026335\" srcset=\"https:\/\/thehill.com\/wp-content\/uploads\/sites\/2\/2026\/08\/AP22124622583389.jpg 5400w, https:\/\/thehill.com\/wp-content\/uploads\/sites\/2\/2026\/08\/AP22124622583389.jpg?resize=300,200 300w, https:\/\/thehill.com\/wp-content\/uploads\/sites\/2\/2026\/08\/AP22124622583389.jpg?resize=768,512 768w, https:\/\/thehill.com\/wp-content\/uploads\/sites\/2\/2026\/08\/AP22124622583389.jpg?resize=1080,720 1080w, https:\/\/thehill.com\/wp-content\/uploads\/sites\/2\/2026\/08\/AP22124622583389.jpg?resize=1536,1024 1536w, https:\/\/thehill.com\/wp-content\/uploads\/sites\/2\/2026\/08\/AP22124622583389.jpg?resize=2048,1365 2048w, https:\/\/thehill.com\/wp-content\/uploads\/sites\/2\/2026\/08\/AP22124622583389.jpg?resize=645,430 645w, https:\/\/thehill.com\/wp-content\/uploads\/sites\/2\/2026\/08\/AP22124622583389.jpg?resize=50,33 50w, https:\/\/thehill.com\/wp-content\/uploads\/sites\/2\/2026\/08\/AP22124622583389.jpg?resize=876,584 876w\" sizes=\"auto, (max-width: 899px) 100vw, 876px\"\/><figcaption class=\"wp-element-caption\"><em>Mark Lennihan, Associated Press file<\/em><\/figcaption><\/figure>\n<p>It doesn\u2019t sound great for Gen Z.<\/p>\n<p>We have the lowest savings-to-spending ratio of any generation, young adults are struggling in the job market and monthly expenses are rising faster than wages.<\/p>\n<p>Last week, The Feed reported that nearly half of the generation\u00a0<a href=\"https:\/\/thehill.com\/blogs\/in-the-know\/6012504-piker-democracy-marvel-nolan-genz-living-home\/\" target=\"_blank\" rel=\"noreferrer noopener\">lives at home<\/a>.<\/p>\n<aside class=\"ad-unit ad-unit--mr4_ab\">\n<\/aside>\n<p>Yet there may be a silver lining.<\/p>\n<p>Gen Z has started investing earlier than previous generations,\u00a0<a href=\"https:\/\/www.investopedia.com\/gen-z-is-behind-on-all-milestones-besides-saving-for-retirement-12036165\" target=\"_blank\" rel=\"noreferrer noopener\">Investopedia reports<\/a>. The outlet cited JPMorganChase Institute research that found that more than one-third of 25-year-olds in 2024 had moved significant money into an investment account since turning 22, up from 6 percent in 2015.<\/p>\n<p>Additional research found that while the average baby boomer started saving for retirement around 34, the average Gen Zer started at 24.\u00a0<\/p>\n<aside class=\"ad-unit ad-unit--mr5_ab\">\n<\/aside>\n<p>A <a href=\"https:\/\/www.investopedia.com\/how-gen-z-s-401-k-balances-compare-to-millennials-gen-x-and-baby-boomers-today-12019757\">separate\u00a0<\/a><a href=\"https:\/\/www.investopedia.com\/how-gen-z-s-401-k-balances-compare-to-millennials-gen-x-and-baby-boomers-today-12019757\" target=\"_blank\" rel=\"noreferrer noopener\">Investopedia<\/a><a href=\"https:\/\/www.investopedia.com\/how-gen-z-s-401-k-balances-compare-to-millennials-gen-x-and-baby-boomers-today-12019757\">\u00a0report<\/a> found that Gen Z workers already have an average 401(k) balance of $13,500. The outlet said this may be due to a dwindling trust in Social Security among younger generations, since it\u2019s projected to <a href=\"https:\/\/www.aarp.org\/social-security\/trust-fund-shortfall-projected-2034\/\" target=\"_blank\" rel=\"noreferrer noopener\">run out by\u00a02034<\/a>.\u00a0<\/p>\n<p>Only 5 percent of Gen Zers expect it to be their main source of retirement income, and 58 percent of\u00a0<a href=\"https:\/\/thehill.com\/policy\/energy-environment\/6023519-noaa-ends-arctic-report-card-support\/\" target=\"_blank\" rel=\"noreferrer noopener\">zoomers and millennials<\/a>\u00a0surveyed expect to rely on personal retirement accounts.\u00a0<\/p>\n<p>Gen Z is most likely to be on track to retire successfully, per <a href=\"https:\/\/corporate.vanguard.com\/content\/corporatesite\/us\/en\/corp\/articles\/us-retirement-outlook-our-2025-report-recap.html?cmpgn=CRP%3AUS%3A%3A%3AEM%3ASUB%3A%3ATHLDR%3AEN%3A01&amp;iid=INDUSTRY_ID_PRESS\" target=\"_blank\" rel=\"noreferrer noopener\">projections from\u00a0Vanguard<\/a>.<\/p>\n<aside class=\"ad-unit ad-unit--mr6_ab\">\n<\/aside>\n<p>Forty-seven percent report having enough money to maintain their current lifestyle in retirement. Millennials take second place at 42 percent, followed by 41 percent of Gen Xers and 40 percent of baby boomers.<\/p>\n<p>\u00a0\u2014\u00a0<em>Claire Leibowitz<\/em><\/p>\n<h2 class=\"wp-block-heading\">Digital Natives: The TikTok Shop revolution<\/h2>\n<figure class=\"wp-block-image size-large\"><img loading=\"lazy\" decoding=\"async\" height=\"720\" width=\"1211\" src=\"https:\/\/thehill.com\/wp-content\/uploads\/sites\/2\/2026\/08\/AP24118034181805.jpg?w=900\" alt=\"\" class=\"wp-image-6026326\" srcset=\"https:\/\/thehill.com\/wp-content\/uploads\/sites\/2\/2026\/08\/AP24118034181805.jpg 3000w, https:\/\/thehill.com\/wp-content\/uploads\/sites\/2\/2026\/08\/AP24118034181805.jpg?resize=300,178 300w, https:\/\/thehill.com\/wp-content\/uploads\/sites\/2\/2026\/08\/AP24118034181805.jpg?resize=768,457 768w, https:\/\/thehill.com\/wp-content\/uploads\/sites\/2\/2026\/08\/AP24118034181805.jpg?resize=1211,720 1211w, https:\/\/thehill.com\/wp-content\/uploads\/sites\/2\/2026\/08\/AP24118034181805.jpg?resize=1536,913 1536w, https:\/\/thehill.com\/wp-content\/uploads\/sites\/2\/2026\/08\/AP24118034181805.jpg?resize=2048,1218 2048w, https:\/\/thehill.com\/wp-content\/uploads\/sites\/2\/2026\/08\/AP24118034181805.jpg?resize=645,384 645w, https:\/\/thehill.com\/wp-content\/uploads\/sites\/2\/2026\/08\/AP24118034181805.jpg?resize=50,30 50w, https:\/\/thehill.com\/wp-content\/uploads\/sites\/2\/2026\/08\/AP24118034181805.jpg?resize=876,520 876w\" sizes=\"auto, (max-width: 899px) 100vw, 876px\"\/><figcaption class=\"wp-element-caption\"><em>Damian Dovarganes, Associated Press file<\/em><\/figcaption><\/figure>\n<p>Major brands have started taking advantage of Gen Z and Generation Alpha\u2019s constantly wandering eyes, meeting them on TikTok and setting up digital storefronts on TikTok Shop to get more product exposure.<\/p>\n<aside class=\"ad-unit ad-unit--mr7_ab\">\n<\/aside>\n<p>Now, the content and product recommendations are tailor-made, drawing younger people in and keeping them there.<\/p>\n<p>Gen Z uses social media platforms, like TikTok, as search engines to find products,\u00a0<a href=\"https:\/\/www.vogue.com\/article\/gen-z-broke-the-marketing-funnel\" target=\"_blank\" rel=\"noreferrer noopener\">Vogue Business\u00a0reports<\/a>.\u00a0<\/p>\n<p>Companies are also now facing the pressure to cater to the social media crowd, including Ulta Beauty CEO Kecia Steelman, who emphasized how important Gen Z is to the beauty and cosmetic industry in an <a href=\"https:\/\/fortune.com\/2025\/11\/05\/ulta-beauty-ceo-kecia-steelman-leadership-next-cosmetics-makeup\/\" target=\"_blank\" rel=\"noreferrer noopener\">interview with\u00a0Fortune<\/a>.\u00a0<\/p>\n<aside class=\"ad-unit ad-unit--mr8_ab\">\n<\/aside>\n<p>Steelman uses the example of how young men and women have taken an interest in colognes, layering them and creating their own scents, a trend that has developed on social media.<\/p>\n<p>Ulta Beauty is attempting to use outlets like TikTok Shop to its advantage to make these products more accessible to new audiences.<\/p>\n<p>\u201cYou have to be where the social activity is happening, especially with the younger consumer. You want to be a part of the conversation, and you have to really lean into social to be able to do that,\u201d Steelman said.\u00a0<\/p>\n<aside class=\"ad-unit ad-unit--mr9_ab\">\n<\/aside>\n<p>Other major brands such as JBL, Gap and Samsung\u00a0<a href=\"https:\/\/www.gq.com\/story\/best-brands-on-tiktok-shop\" target=\"_blank\" rel=\"noreferrer noopener\">can also be found<\/a>\u00a0on TikTok Shop. In today\u2019s consumer world, major brands have had to adapt to Gen Z\u2019s tech savvyness and utilization of social media, otherwise they won\u2019t be found.<\/p>\n<p>\u00a0\u2014\u00a0<em>Joshua Feldstein<\/em><\/p>\n<h2 class=\"wp-block-heading\">One last thing: $20 burritos in the little treat economy<\/h2>\n<figure class=\"wp-block-image size-large\"><img loading=\"lazy\" decoding=\"async\" height=\"720\" width=\"1080\" src=\"https:\/\/thehill.com\/wp-content\/uploads\/sites\/2\/2026\/08\/AP060511062543.jpg?w=900\" alt=\"\" class=\"wp-image-6026322\" srcset=\"https:\/\/thehill.com\/wp-content\/uploads\/sites\/2\/2026\/08\/AP060511062543.jpg 2000w, https:\/\/thehill.com\/wp-content\/uploads\/sites\/2\/2026\/08\/AP060511062543.jpg?resize=300,200 300w, https:\/\/thehill.com\/wp-content\/uploads\/sites\/2\/2026\/08\/AP060511062543.jpg?resize=768,512 768w, https:\/\/thehill.com\/wp-content\/uploads\/sites\/2\/2026\/08\/AP060511062543.jpg?resize=1080,720 1080w, https:\/\/thehill.com\/wp-content\/uploads\/sites\/2\/2026\/08\/AP060511062543.jpg?resize=1536,1024 1536w, https:\/\/thehill.com\/wp-content\/uploads\/sites\/2\/2026\/08\/AP060511062543.jpg?resize=645,430 645w, https:\/\/thehill.com\/wp-content\/uploads\/sites\/2\/2026\/08\/AP060511062543.jpg?resize=50,33 50w, https:\/\/thehill.com\/wp-content\/uploads\/sites\/2\/2026\/08\/AP060511062543.jpg?resize=876,584 876w\" sizes=\"auto, (max-width: 899px) 100vw, 876px\"\/><figcaption class=\"wp-element-caption\"><em>Larry Crow, Associated Press<\/em><\/figcaption><\/figure>\n<p>Rep. Dan Crenshaw (R-Texas) drew criticism last week after weighing in on the debate of a <a href=\"https:\/\/thehill.com\/newsletters\/the-movement\/6021209-gop-burrito-affordability\/\" target=\"_blank\" rel=\"noreferrer noopener\">viral\u00a0$20 burrito<\/a>. \u201cStop whining, get a job, eat Ramen like the rest of us did in college, on a budget with 4 roommates,\u201d he wrote on the\u00a0<a href=\"https:\/\/x.com\/DanCrenshawTX\/status\/2085178337408782349?s=20\" target=\"_blank\" rel=\"noreferrer noopener\">social platform X<\/a>.<\/p>\n<aside class=\"ad-unit ad-unit--mr10_ab\">\n<\/aside>\n<p>Spending money on trivial treats is a core component of Gen Z culture, Daniel Levine, director of consumer trends at Avant-Guide Institute, <a href=\"https:\/\/www.yahoo.com\/lifestyle\/articles\/gen-z-spends-hundreds-month-103100316.html\" target=\"_blank\" rel=\"noreferrer noopener\">told\u00a0Fortune<\/a>. He compared it to millennials\u2019 avocado toast craze, Gen X\u2019s affinity for junk food and baby boomers\u2019 ability to splurge on bigger ticket items.<\/p>\n<p>A <a href=\"https:\/\/institute.bankofamerica.com\/content\/dam\/economic-insights\/gen-z-reality-check.pdf\" target=\"_blank\" rel=\"noreferrer noopener\">Bank of America Institute\u00a0survey<\/a>\u00a0recently investigated the little treat economy and found that 92 percent of Gen Z respondents said they treat themselves. If they had a bad day, they picked it up with a treat. If they had a good day, they celebrated with a treat. The generation\u2019s spending at small- and mid-sized coffee chains grew more than 25 percent in June, a rate higher than other generations.\u00a0<\/p>\n<p>These purchases also extended into the beauty category, reflecting trends seen in the \u201clipstick index,\u201d the theory that measures sale trends of affordable luxury items like lipstick amid financial stress. The study found that Gen Z\u2019s spending at cosmetic stores was almost four times stronger than the growth of transactions, suggesting that the group spends more and more often.<\/p>\n<aside class=\"ad-unit ad-unit--mr11_ab\">\n<\/aside>\n<p>Young adults have started to embrace financial nihilism as long-term financial goals continue to feel further away,\u00a0<a href=\"https:\/\/fortune.com\/article\/gen-z-giving-up-on-buying-a-home-financial-nihilism-risky-investments-working-less\/\" target=\"_blank\" rel=\"noreferrer noopener\">Fortune\u00a0reported<\/a>. It\u2019s hard to save for a house, but it\u2019s easy to buy a $20 burrito or a $10 iced coffee for making it through the week.\u00a0<\/p>\n<p>The Bank of America Institute study surveyed more than 2,000 respondents, including 1,146 general population adults and 1,133 Gen Z adults, with margins of error of 3 percentage points for both groups.<\/p>\n<p>\u2014\u00a0<em>Claire Leibowitz<\/em><\/p>\n<aside class=\"ad-unit ad-unit--mr12_ab\">\n<\/aside>\n<p><em>The Feed is a weekly scoop on Generation Z put together by three Generation Z editors at The Hill. We\u2019re working to understand the ins and outs of our generation\u2019s politics. Send tips or comments to <a href=\"https:\/\/thehill.com\/mailto:awalker@thehill.com\">awalker@thehill.com<\/a>,<a href=\"https:\/\/thehill.com\/mailto:jfeldstein@thehill.com\"> jfeldstein@thehill.com<\/a> or <a href=\"https:\/\/thehill.com\/mailto:cleibowitz@thehill.com\">cleibowitz@thehill.com<\/a>.<\/em><\/p>\n<\/div>\n<p>Copyright 2026 Nexstar Media Inc. All rights reserved. This material may not be published, broadcast, rewritten, or redistributed.<\/p>\n<script async=\"async\" data-cfasync=\"false\" src=\"https:\/\/pl30214220.effectivecpmnetwork.com\/9ab3d4df8a7e1a6171e16ddbf732cc19\/invoke.js\"><\/script>\r\n<div id=\"container-9ab3d4df8a7e1a6171e16ddbf732cc19\"><\/div>\r\n\n","protected":false},"excerpt":{"rendered":"<p>Generation Z has a growing reliance, enthusiasm and trust in crypto, creating a massive divide in where different generations invest their money. According to an\u00a0OKX sponsored survey conducted earlier this year, 40 percent of Gen Z and 41 percent of millennials said they feel confident about crypto platforms. On the flip side, only about 27&#8230;<\/p>\n","protected":false},"author":1,"featured_media":43308,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"fifu_image_url":"https:\/\/thehill.com\/wp-content\/uploads\/sites\/2\/2026\/08\/TheFeed_JoshAbigailClaire_AdobeStock.jpg?w=1280","fifu_image_alt":"","footnotes":""},"categories":[17],"tags":[],"class_list":["post-43307","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-political-news"],"brizy_media":[],"_links":{"self":[{"href":"https:\/\/usnews-14267fa.ingress-comporellon.ewp.live\/index.php?rest_route=\/wp\/v2\/posts\/43307","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/usnews-14267fa.ingress-comporellon.ewp.live\/index.php?rest_route=\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/usnews-14267fa.ingress-comporellon.ewp.live\/index.php?rest_route=\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/usnews-14267fa.ingress-comporellon.ewp.live\/index.php?rest_route=\/wp\/v2\/users\/1"}],"replies":[{"embeddable":true,"href":"https:\/\/usnews-14267fa.ingress-comporellon.ewp.live\/index.php?rest_route=%2Fwp%2Fv2%2Fcomments&post=43307"}],"version-history":[{"count":0,"href":"https:\/\/usnews-14267fa.ingress-comporellon.ewp.live\/index.php?rest_route=\/wp\/v2\/posts\/43307\/revisions"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/usnews-14267fa.ingress-comporellon.ewp.live\/index.php?rest_route=\/wp\/v2\/media\/43308"}],"wp:attachment":[{"href":"https:\/\/usnews-14267fa.ingress-comporellon.ewp.live\/index.php?rest_route=%2Fwp%2Fv2%2Fmedia&parent=43307"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/usnews-14267fa.ingress-comporellon.ewp.live\/index.php?rest_route=%2Fwp%2Fv2%2Fcategories&post=43307"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/usnews-14267fa.ingress-comporellon.ewp.live\/index.php?rest_route=%2Fwp%2Fv2%2Ftags&post=43307"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}