Research Findings: Gen Z Embraces Stablecoins, Contrasting Boomers' Apprehension
Stablecoins, digital currencies tied to the value of traditional currencies like the U.S. dollar, are gaining popularity among various demographics and institutional players. According to a recent survey, 53% of participants have already used stablecoins, with 34% making transactions monthly, indicating a commitment to using these coins as financial tools.
The survey reveals that Gen Z is the demographic using stablecoins the most, with 46% of Gen Z stablecoin users transacting monthly. Conversely, Millennials are the least likely demographic to consider receiving their salary in stablecoins (53%), while Gen X is the second most likely (66%). However, Gen X shows interest in stablecoins, but with caution.
One of the key drivers behind the growing adoption of stablecoins is their ability to bring the innovation of cryptocurrencies without the wild price swings. This characteristic appeals to Millennials, with 33% seeing stablecoins as a way to hedge against inflation and 30% as a means to chase DeFi yield.
However, despite the growing adoption and regulatory clarity, key barriers remain. Security risks, regulatory compliance, and interoperability issues continue to limit wider acceptance. For instance, security vulnerabilities such as de-pegging, code bugs, and operational failures pose risks, particularly at centralized platforms.
Regulatory uncertainties also persist, with stablecoins needing to comply with evolving laws to separate compliant issuers from non-compliant ones. Trust in the infrastructure is crucial to protect users, resolve disputes, and enable seamless cross-border and cross-platform operations.
Moreover, financial intermediaries' resistance to disintermediation and the need for clearer use cases beyond speed and programmability are significant challenges to mass consumer adoption. Limited real-world acceptance is a major issue for 43% of stablecoin users, with Gen Z being the most vocal about this inconvenience.
The survey, conducted with 510 participants on Prolific, aimed to capture diverse perspectives across multiple generations. It found that 39% of the participants know about stablecoins but haven't tried them yet. As developers, platforms, and businesses catch up, stablecoins might be the next major shift in how people handle money. However, overcoming the current barriers is essential for stablecoins to become fully mainstream.
References:
[1] CoinDesk (2025). Stablecoins Now Comprise 8.9% of Total Crypto Market. [online] Available at: https://www.coindesk.com/markets/2025/06/01/stablecoins-now-comprise-8-9-of-total-crypto-market/
[2] Stripe (2025). Stripe Acquires Stablecoin Infrastructure Provider. [online] Available at: https://stripe.com/press/stripe-acquires-stablecoin-infrastructure-provider
[3] Financial Times (2025). Stablecoins: The Next Big Thing in Finance? [online] Available at: https://www.ft.com/content/3432816a-d21a-4451-9320-c49a49b1c23e
[4] Deloitte (2025). Stablecoins: The Future of Cross-Border Payments? [online] Available at: https://www2.deloitte.com/us/en/pages/risk/articles/stablecoins-the-future-of-cross-border-payments.html
- A significant number of people have already used stablecoins, with some doing so monthly, indicating a growing commitment to using these coins as financial tools.
- Gen Z is the demographic using stablecoins the most, followed closely by Gen X, while Millennials are the least likely to consider receiving their salary in stablecoins.
- The stability of stablecoins, which offer the innovation of cryptocurrencies without the wild price swings, appeals to many, with some seeing them as a way to hedge against inflation.
- Security risks, regulatory compliance, and interoperability issues remain key barriers to the wider acceptance of stablecoins.
- Developers, platforms, and businesses are working to address these barriers, with stablecoins potentially the next major shift in how people handle money.
- Educating the public about stablecoins and the benefits they offer is crucial for overcoming the current barriers and enabling mainstream adoption.
- The growing popularity of stablecoins in areas such as DeFi trading, investing, and technology, is fueling the need for a better understanding of the role they play in finance, lifestyle, and education-and-self-development.
