# Gen Z favors ETFs and trades less frequently

Binance data shows Gen Z trades less frequently and uses less leverage.

- **Source:** [Cointelegraph.com News](https://brifing.si/source/2e81e982-0137-4db0-8ac2-351f37085775)
- **Published:** 2026-08-14
- **Topic:** [Finance](https://brifing.si/c/finance)
- **Original article:** <https://cointelegraph.com/news/gen-z-favors-etfs-and-trades-less-than-older-cohorts-binance?utm_source=rss_feed&utm_medium=rss&utm_campaign=rss_partner_inbound>
- **On Brifing:** https://brifing.si/s/9e58f3ac-f35e-46cf-8926-93486cc74ad4

## Growing preference for ETFs among Gen Z

According to Binance data, Gen Z investors are increasingly allocating their investments to ETFs. In early August, ETFs accounted for 25% of Gen Z's trading volume. In July, 21.9% of Gen Z's net equity inflows went to ETFs, up from 18.5% in June. The share of individual stocks dropped from 77% to 74.2% during the same period.

## Comparison with other generations

Gen Z trades less frequently than other working-age generations. In traditional finance products, Gen Z averages 13 trades per month, while Millennials make 17 trades and Gen X makes 16.5 trades. 22% of Gen Z has never placed a sell order, compared to 19% of Gen X and 9% of Baby Boomers. 30% of Millennials only make buy orders.

## Low interest in leveraged ETFs

Gen Z shows less interest in leveraged and inverse ETFs. 88.2% of Gen Z has no activity in these products, compared to 84.5% of Millennials and 85.9% of Gen X. This indicates that Gen Z adopts a more cautious investment strategy.

## Tokenized stock market

Binance's bStocks surpassed Kraken's xStocks to become the second-largest tokenized stock issuer. bStocks reached $610.6 million in tokenized stock value. Ondo Finance leads the market with $971.8 million. The tokenized stock market grew by 5% in the last 30 days, reaching $2.43 billion.

## Gen Z's favorite assets

Among Gen Z's buy-only accounts, the most preferred assets include Broadcom, Tesla, and the Schwab US Dividend Equity ETF. This data shows Gen Z's interest in both tech stocks and dividend-focused ETFs.

## Limited data window

Binance noted that its direct equities product only reached meaningful scale in June, making the data window for long-term trend analysis relatively short. This makes it difficult to draw definitive conclusions about Gen Z's investment habits.

## Competition in tokenized stocks

There is intense competition between Binance and Kraken in the tokenized stock market. The market shares of bStocks and xStocks can change within days. The total market value is around $2.7 billion, indicating significant growth potential in this space.

## Gen Z's investment approach

Gen Z's lower trading frequency and reduced use of leverage suggest a preference for longer-term and less risky investment strategies. The growing popularity of ETFs can be interpreted as a sign that Gen Z values portfolio diversification.

## Sources covering this story

- https://cointelegraph.com/news/gen-z-favors-etfs-and-trades-less-than-older-cohorts-binance?utm_source=rss_feed&utm_medium=rss&utm_campaign=rss_partner_inbound — 

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_Summary written by Brifing from the original reporting. Copyright in the original article belongs to its publisher; read the full piece at the link above._
