Stablecoins vs Crypto: Why 70% of Credit Union Members Don’t Get It [And How to Fix It] (2026)

Stablecoins and Cryptocurrency: A Confusing Mix-Up for Credit Union Members

A recent study by PYMNTS Intelligence and Velera reveals a fascinating insight into consumer behavior when it comes to stablecoins and cryptocurrency. The research, titled 'The Wallet Effect: How Credit Unions Can Close the Digital Currency Access Gap', highlights a significant gap in understanding between different age groups. While younger consumers, particularly millennials, show a strong interest in using cryptocurrency for payments, the same cannot be said for stablecoins.

What's intriguing is that stablecoins, which are generally tied to traditional currencies and designed for payments, are not differentiating themselves from cryptocurrency in the minds of consumers. This is despite the fact that stablecoins are generally less volatile and more stable than other cryptocurrencies. The study found that 31% of millennials express a strong interest in using cryptocurrency for payments, while only 28% are interested in stablecoin payments. This 3-point difference is quite remarkable, especially considering the broader recognition of cryptocurrency through media coverage and app-based investing.

The findings suggest that stablecoins have not yet established a separate identity in the eyes of most consumers. This lack of differentiation could be attributed to the fact that stablecoins are still relatively new and less familiar compared to cryptocurrency. As a result, consumers often carry over their assumptions about cryptocurrency, including concerns about volatility, to stablecoins.

This uncertainty presents an opportunity for credit unions to step in and educate their members. With consumer habits around digital assets still evolving, financial institutions have the chance to explain the differences between stablecoins and cryptocurrency, and how they can be useful in various scenarios. By combining education with trusted interfaces and carefully selected partnerships, credit unions can improve their relevance and offer valuable services to their members.

The study also highlights the importance of digital wallets in bridging the gap between stablecoins and cryptocurrency. When consumers can access digital assets through tools they already use to pay, transfer, and manage money, their interest in using these assets increases significantly. For example, among millennials, strong interest in cryptocurrency rises from 31% for direct payments to 35% through a digital wallet. Similarly, among credit union members, strong interest in stablecoin payments increases from 5% to 12% when wallet access is available.

In conclusion, the study emphasizes the need for a measured and educational approach when it comes to stablecoins and cryptocurrency. By understanding the gaps in consumer understanding and leveraging digital wallets, credit unions can play a crucial role in closing the digital currency access gap and providing valuable services to their members. This is especially important as the world of digital assets continues to evolve and gain popularity.