Nearly half of American men are clueless about where their money goes once deposited in the bank.
A survey by TRES, a Web3 financial data platform, showed that 48% of men believe their bank deposits stay put.
Women did better, with 68% understanding that banks lend out a portion of these deposits to make returns through loans and investments.
This knowledge gap only highlights deeper issues in the current financial system, one that’s crumbling under a lack of transparency and trust.
Tal Zackon, the CEO of TRES, sat down with Cryptopolitan to explain these findings in an exclusive interview. He’s got a lot to say about why the traditional banking system no longer cuts it and why crypto is gaining ground.
“People just don’t trust banks anymore,” Tal says.
Why the gap?
The survey was conducted in August and it sampled 1,032 people, all between the ages of 18 and 60. One major takeaway was the lack of knowledge among men about how banks operate. Over 60% of men aged 30 to 60 think their money is always in the bank.
More surprisingly, only one in three Americans understand that if their bank collapses, their money is not fully protected.
When asked about this gap in understanding between men and women, Tal had a personal take on it. “I think it’s about how men and women make decisions. I’ll be honest, I’m less thorough when I make decisions,” he says.
“My wife, on the other hand, always looks into the details. I think women tend to dig deeper, which might explain why they’re more aware of how banks operate.”
The survey also revealed that people are growing tired of the opaque way banks handle deposits. Almost 90% of respondents said they’d be more likely to use a financial service that is fully transparent about how their money is being used.
That desire for transparency extends across all demographics, from 18-year-olds to those in their 60s. “People want to know what’s happening with their money,” Tal says. “Banks aren’t giving them that clarity. That’s why people are starting to look elsewhere — like crypto.”
TRES survey explains why trust in crypto is increasing
One of the standout findings of the TRES survey is that a growing number of people are ditching traditional banking options for crypto. A fifth of Americans said they trust crypto more than banks.
Among those aged 45 to 60, nearly 25% said they preferred crypto over conventional assets like stocks, bonds, or even cash.
The trust in banks is shaky at best. Only 14% of respondents said they view banks as the most trustworthy asset class, compared to nearly 29% who trust cash the most.
Real estate came second, but crypto was close behind in third place. Tal gave a nod to recent developments in the space that are further boosting crypto’s credibility.
“Visa just announced a 100% on-chain payment system last week. Stablecoins are becoming a big deal in cross-border payments. The financial landscape is changing, and it’s moving towards blockchain.”
Tal shared an anecdote about the collapse of Silicon Valley Bank (SVB) to illustrate how fragile the traditional banking system has become. “We had a lot of our funds in SVB,” he recalls.
“When the rumors started swirling about what was happening, there was a rush to withdraw, and the bank collapsed. It wasn’t just SVB, you know. A few other banks tied to the startup scene went down too.”
Tal explains that the collapse comes from banks getting too involved in risky ventures (particularly in tech and startups) without fully understanding the risks.
“That’s the problem,” he says. “When you don’t know where your money is going, it’s a gamble. People don’t want their deposits funding high-risk loans or investments, especially when they’re kept in the dark about it.”
Tal says TRES wants to make decentralized finance (DeFi) more accessible to businesses and individuals who are still hesitant.
“We understand that a lot of companies haven’t fully embraced digital assets yet,” Tal admits.
“But we want to help them feel more comfortable making that move. We’re talking about efficiencies here. Blockchain can do what banks do, but much better.”
One of the key areas where TRES sees an opportunity is in stablecoins and cross-border payments. Tal believes that blockchain will eventually replace SWIFT, the old guard in international banking.
“The transition is already happening,” he says. “We just need to make it easier for companies to comply with regulations. Once that trust is there, the shift will be smoother.”
Consumer behavior is already changing
As more people adopt crypto, Tal sees consumer behaviors changing rapidly. “If you look at the percentage of people in the U.S. holding crypto, it’s growing. Retail investors are pouring more money into digital assets,” he observes.
“In the next two years or so, you likely won’t even know when your payment is being settled on the blockchain.”
He believes that blockchain-based payment systems will become as seamless as using Apple Pay or Google Wallet. “You’ll just tap your phone, and the transaction will be settled in stablecoins behind the scenes,” he says. “People won’t even realize it’s happening.”
The conversation then naturally shifted to Bitcoin and America’s economy. Despite recent interest rate cuts, Bitcoin’s price didn’t budge much. Tal explains that:
“That’s because these changes were already priced in. The market expected the rate cuts, so Bitcoin didn’t rally the way some might have hoped.”
He believes that the upcoming U.S. election could be the next big catalyst for Bitcoin’s price movement. One of the most pressing questions is what would happen if the U.S. defaults on its national debt.
Tal’s response was direct: “You can only imagine the chaos.” He’s not interested in going down that hypothetical rabbit hole, but he knows one thing for sure. If the U.S. defaults, it’ll have a catastrophic effect on global markets, including crypto.
“Everything would be up in the air,” Tal says. “Crypto would probably see a surge in demand as people try to protect their assets, but the world would be in a state of financial turmoil. It’s not a scenario anyone wants to think about.”
Cultural differences in crypto adoption
Meanwhile, crypto adoption isn’t uniform across the globe. Tal notes that some regions, like Latin America, Africa, and Asia, are seeing much higher adoption rates than places with stronger traditional banking systems.
“Wherever you see more centralized banking systems, you’ll see less adoption of crypto,” he says. This is especially true in countries where regulators and governments have a tight grip on financial systems.
Tal mentions the U.K. as an example of a country with an open banking system but also a more conservative approach to digital assets. “In the U.S., crypto has become a political issue, and that’s holding back adoption,” he adds. “It should be bipartisan, but it’s not.”
So, where does Tal see global crypto adoption by 2035? “SWIFT will be a thing of the past,” he says confidently. “The entire financial system will be built on blockchain technology.”
He envisions a world where assets like real estate, bonds, shares, and equities are all on-chain. “People won’t even question why we use blockchain. It’ll just be the norm.”
Tal also predicts that the world will become more economically globalized as blockchain technology makes it easier to transfer assets across borders.
He shares a personal frustration about trying to send 100 euros to a friend in Austria. “It’s still difficult to move money between countries,” he says. “By 2035, that won’t be an issue.”
