While a large percentage of credit union (CU) members hold or have held cryptocurrencies, they still lag behind customers of other financial institutions (FIs).
Beyond that, all but the youngest UC members are more likely to have held onto crypto during the crypto winter that has taken hold for 10 of the last 12 months, according to “Credit Union Innovation: Cryptocurrency as a Key to Member Loyalty”, a PYMNES and PSCU collaboration.
Nearly 29% of CU members have held crypto at some point, 26% in the past year. But for non-UC members, those numbers are 34% and 32%. And around 20% of current CU members hold crypto, 4% less than non-CU members.
When breaking down these bank customers by age bracket, the most startling numbers come from the younger generation, Gen Z, who are far more likely to have sold off their crypto holdings in the past year. This is especially true for Gen Z CU members.
Although they are slightly less likely to have ever held crypto, 44% to 50%, they are much more likely to have gotten rid of it than their non-CU counterparts, and much more than other members older than CU.
Nearly 50% of Gen Z CUs have gotten rid of crypto in the last 12 months – just over 22% currently hold it, while just under 22% have sold it. Among non-CU customers, around 35% own them and 15% sell them.
Compare that to nearly half to CU’s Gen Y, Gen Y, and Gen X customers, where the numbers range from about one-fifth to one-sixth.
Among non-CU members in these three demographic groups, the number of those who have abandoned crypto was around a quarter, and only 15% have held it in the past year, but no longer do so. .
That’s enough to make it hard not to wonder if Gen Z have been particularly disappointed with the crypto, which soared to new highs for most of 2021 before crashing in November. Bitcoin fell from around $20,000 at the start of 2021 to nearly $69,000 in November before giving up all gains this year.
When it comes to the desire to be able to buy and sell crypto through their banking app or website, well over half of all bank customers – around 57% – wanted to be able to do both on one platform.
But again, UC members were slightly less interested – 17% to nearly 22%. However, almost all types of traditional banks – national, regional and local banks as well as UCs – were about equally likely to have access to crypto services on their banking portals. : 14% to 18% in traditional FIs, with UCs in the middle at 16%.
But digital and online banks were more than twice as likely to offer customers access to crypto services, with nearly 39% doing so.
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