Gen Z heavily uses both Venmo and Zelle, but favors Venmo (approx. 40–75% usage) for its social features, while Zelle (approx. 29–47% usage) is used for direct bank transfers. Venmo's social, user-friendly interface makes it the preferred peer-to-peer (P2P) app, often alongside Cash App and Apple Pay, while Zelle is used for instant, direct-to-bank transfers.
Venmo is an ewallet favored by Millennials and Gen Z consumers—digital natives who are indispensable for topline growth as they account for more than ½ of the US population.
According to a report from eMarketer, Zelle may overtake Venmo users later this year, growing by more than 73%. Although fairly new to the market, the bank-backed application has leapfrogged the early stages of adoption.
According to consulting firm EY, 69% of Gen Z uses debit cards, whereas 39% uses credit cards. By comparison, 51% of older generations use credit cards. Lastly, Gen Z is flocking to subscriptions, giving this centuries-old payment method new life.
Digital Wallets and Mobile Payments: Always Connected
Digital wallets such as Apple Pay, Google Pay, and Cash App are becoming some of the most common Gen Z payment methods. In fact, 57% of Gen Z reported using digital wallets in 2021, a figure that has only grown as mobile payment options become more widely accepted.
The Zelle App is Gone. What Does That Mean? As of April 1, 2025, Zelle has officially shut down its standalone app. This decision was driven by the fact that most users already accessed Zelle through their bank or credit union's mobile app.
TikTok continues to dominate Gen Z's attention, but YouTube is regaining relevance, especially for longer-form content and in-depth product research. According to Pew Research, 67% of teens (which includes younger Gen Z) use TikTok, and 93% use YouTube regularly.
The 5-5-5 rule in social media has two main interpretations: a content mix (5 value/educational, 5 entertaining/inspiring, 5 promotional posts) for balance, or a daily engagement tactic (like 5 posts, comment on 5 posts, all within 5 minutes) to build connections without spamming, ensuring a consistent, non-promotional presence. Both versions aim to create a healthy mix of valuable content and genuine interaction, fostering audience trust and visibility.
The "Venmo $600 rule" refers to a past IRS tax reporting threshold where platforms like Venmo would send a Form 1099-K for over $600 in goods/services payments; however, this rule was delayed and modified, with a new law returning the reporting threshold for Venmo/PayPal (for tax year 2025 onwards) back to the original $20,000 AND 200 transactions, effectively ending the strict $600 requirement for most users, though some states still have lower thresholds, and personal payments are always excluded.
Venmo should only be used to transact with people you know. Do not use Venmo to pay or receive payments from people you don't know, especially if the payment involves the purchase or sale of a good or service. Such payments are potentially high risk and you could lose your money without getting what you paid for.
5 best Venmo alternatives for personal use
Venmo. Venmo is a popular alternative to Zelle. It acts as a digital wallet, allowing you to send money, store funds, and pay some small businesses.
Why? It turns out that while Zelle boasts a massive user base, only a small fraction – about 2% – actually use the standalone app. The vast majority access Zelle through their bank's own app or website. This low usage is the primary reason behind the decision to shut down the Zelle app.
upside-down face emoji 🙃
The upside-down face emoji 🙃 is basically code for “this is terrible” or FML. It's used when things aren't going well or the user is having a terrible day. This modern usage is an update to the millennial sense. For the older generation, this emoji often indicated sarcasm or even silliness.