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Gen Z traders on Binance shift to ETFs, 25% of volume

Gen Z traders on Binance shift to ETFs, boosting equity volume to 25%.

  • Gen Z traders on Binance allocated 25% of their equity trading volume to ETFs in early August, up from 21.9% in July.
  • ETFs accounted for 21.9% of Gen Z net equity inflows in July, while individual stocks fell to 74.2%.
  • Gen Z traded less frequently than Millennials and Gen X across all products, averaging 13 monthly TradFi perpetual trades.
  • Binance’s bStocks briefly overtook Kraken’s xStocks as the second-largest tokenized stock issuer, with the broader market reaching $2.43 billion.

Gen Z traders on Binance are increasingly turning to exchange-traded funds, with the products accounting for 25% of their equity trading volume in early August, according to Binance Research. The cohort’s ETF share of net equity inflows rose to 21.9% in July from 18.5% in June, while individual stocks dropped to 74.2% from 77%.

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The analysis examined activity across direct equities, tokenized stocks and traditional finance perpetuals, comparing Gen Z with Millennials, Gen X and Baby Boomers. Gen Z traded less frequently than other working-age generations, averaging 13 monthly TradFi perpetual trades versus 17 for Millennials and 16.5 for Gen X.

Among Gen Z direct-equity accounts, 22% had never placed a sell order, compared with 19% of Gen X and 9% of Baby Boomers. Top assets in Gen Z buy-only accounts included Broadcom, Tesla and the Schwab US Dividend Equity ETF, according to Binance.

Meanwhile, Binance’s bStocks briefly overtook Kraken’s xStocks as the second-largest tokenized stock issuer this week, holding $610.6 million in value versus $601.2 million, per Token Terminal data. The positions reversed by Friday, with xStocks at $610.7 million and bStocks at $579.6 million, representing 22.3% and 21.2% of the roughly $2.7 billion market.

The broader tokenized stock market continued expanding, with RWA.xyz tracking $2.43 billion in distributed value as of Friday, up about 5% over the past 30 days. Binance cautioned that its direct-equities product only reached meaningful scale in June, leaving a short data window for establishing longer-term trends.

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