Driven by a blend of digital fluency, a desire for diversification, and a comfort with emerging assets, Millennials and Gen Z are revolutionizing the investment landscape by allocating significantly more of their portfolios to alternative investments than their older counterparts. Recent data highlights that these younger generations are dedicating roughly three times more of their investment capital to diverse categories such as cryptocurrencies, collectibles, digital art, and other unconventional assets. This pronounced shift reflects a strategic move beyond traditional stocks and bonds, signaling a greater appetite for higher potential returns, a hedge against inflation, and an alignment of their financial strategies with their personal values and digital-native lifestyles.
In summary, a very high percentage of Gen Z and Millennials are actively engaged in or interested in the collectibles market, viewing it as a viable investment alongside traditional assets, often driven by both financial and emotional factors.
Further, Gen Z and Millennials are leading the charge in cryptocurrency digital asset adoption, far outpacing older generations. Here's a breakdown of the percentages based on recent surveys:
Overall Crypto Ownership:
Gen Z: Globally, more than half of Gen Z (51%) currently own cryptocurrency or have owned it in the past. In the US specifically, this figure is also around 51%.
Millennials: In the US, approximately 49% of Millennials have owned or currently own cryptocurrency.
Combined Gen Z and Millennials: Some reports indicate that 94% of all cryptocurrency buyers fall within the Gen Z and Millennial age range (18-40 years old).
Comparison to Traditional Assets:
- Younger generations are almost equally likely to own cryptocurrency (around 21% for Gen Z and Millennials combined in some surveys) as they are to own real estate (20%).
- Gen Zers are even more likely to own cryptocurrency (20%) than they are to own stocks (18%).
Future Investment Intentions:
- A significant portion of Gen Z (around 65%) says they are likely to invest more in cryptocurrency in the coming year.
- Millennial investors are also very active, with 36% already owning crypto and a strong likelihood of further investment.
- Nearly 29% of individuals under the age of 43 (Millennials and Gen Z) plan to invest in cryptocurrencies over the next year.
Key Drivers for Crypto Adoption Among Younger Generations:
Income Generation: Nearly half of Gen Z (48%) globally report investing in cryptocurrency as a means of generating income.
Inflation Hedge: Many Gen Z individuals are concerned about inflation and see crypto as a way to combat rising costs.
Diversification: They are seeking alternatives to traditional investment vehicles.
Technological Comfort: As digital natives, they are highly comfortable with online platforms and emerging technologies.
Social Media Influence: Social media plays a significant role in shaping their financial decisions and popularizing crypto. Today, 85% of all Gen X, Gen Z and Millennials on a daily basis review information, read news and shop for items on social media networks.
Accessibility: The perception that traditional investments can be less accessible due to various barriers.
ETFs: The availability of spot Bitcoin ETFs has made it easier for younger investors to gain exposure to crypto without directly holding the underlying assets.
While younger generations are clearly more invested in crypto digital assets, it's worth noting that studies have also shown that Gen X buyers, on average, tend to spend more on cryptocurrency than Gen Z and Millennial buyers, despite being a smaller percentage of the overall crypto buyer pool. This suggests that while younger generations are more numerous in the crypto space, older, perhaps wealthier, investors might be increasingly making larger individual purchases of alternative investment assets.
Moreover, during research I uncovered that increasingly Gen X, Gen Z and Millennials on a daily basis now use (AI) artificial intelligence apps, particularly for Gen Z and Millennials. It's also important to distinguish between explicit "AI apps" (like ChatGPT) and integrated AI features in common apps (like smart assistants, recommendation engines, or spam filters), which almost everyone uses daily without necessarily realizing its AI. Note the new article on soon to be released OpenAI ChatGPT-5, which begins the proliferation of very powerful (AGI) artificial general intelligence, now accelerating the adoption of advanced robotics and intelligent machines in nearly every business and personal application. Read Article "How OpenAI's GPT-5 Can Drive Business Growth With Elements of Artificial General Intelligence".
Here's a breakdown based on recent data, focusing on deliberate AI app usage:
Gen Z (Born roughly 1997-2012)
High Engagement: Gen Z is the most comfortable and active with AI.
70% of Gen Z report using Generative AI.
60% of Gen Z is already using ChatGPT in everyday life.
A Google survey of full-time knowledge workers (ages 22-27) found that 93% of Gen Z users employ two or more AI tools weekly, including ChatGPT, DALL-E, and Otter.ai. While this isn't strictly "daily," it shows a very high frequency of use.
Some sources indicate that 46% of Gen Z use AI daily in 2023.
They integrate AI into shopping (60%) and banking (54%).
They are also turning to AI companions for personal advice, emotional support, and decision-making, with more than 70% of teens having used AI companions and half using them regularly.
Millennials (Born roughly 1981-1996)
Strong Adoption: Millennials are also significant users of AI, especially in professional contexts.
Deloitte reports that 56% of Millennials use generative AI at work.
McKinsey finds that 62% of employees aged 35-44 (Millennials) report high AI expertise, higher than Gen Z (50%).
90% of Millennials in this age group are comfortable using AI at work, the highest of any cohort.
Around 1 in 10 Gen Zers and Millennials already use AI tools daily or multiple times a day, with another 23% and 17% respectively using it weekly or more than once a week.
Gen X (Born roughly 1965-1980)
Growing but Slower Adoption: Gen X's adoption of explicit AI apps is generally slower than younger generations.
Industry data shows 68% of non-AI users come from Gen X and Boomers, signaling slower adoption for deliberate AI app usage.
While virtual assistants like Siri/Alexa are widely used (which are AI-powered), the percentage of Gen X using generative AI apps daily is lower.
Some data suggests that 49% of Gen X use AI at least weekly or more (which would include daily users).
However, only 14% of 41-60-year-olds use virtual assistants weekly, which is a general indicator of comfort with some AI tech.
Important Nuances and Context:
Embedded AI: A significant portion of daily AI use across all generations happens without users explicitly realizing it. This includes spam filters, streaming service recommendations, GPS navigation, facial recognition on phones, and more. If you consider these, the daily AI usage percentages would be much higher across the board.
Generative AI vs. General AI: The statistics often differentiate between general AI (like virtual assistants or recommendation algorithms) and generative AI (like ChatGPT, DALL-E, Midjourney). Generative AI, being newer and more interactive, shows a clearer generational divide in active, conscious use.
Work vs. Personal Use: Many statistics highlight AI usage in the workplace, where adoption rates can be higher due to perceived productivity gains.
Data Varies: As a rapidly evolving field, exact percentages can vary slightly between different surveys depending on methodologies, definitions of "AI app," and survey populations.
In summary, Gen Z is leading in daily AI app usage, followed closely by Millennials, who are also very proficient, especially in professional settings. Gen X's daily engagement with explicit AI apps is lower but rapidly growing, though they likely interact with embedded AI features frequently. All data research reveals a massive acceleration of innovation driving economic prosperity, and emphasis on AI adoption is becoming a "must" for businesses and individuals in order to stay competitive in the marketplace.
Disclaimer: This article is for general informational and research purposes only. Click Here Get Business Services