Stack releases crypto trading app aimed at teens and parents
Crypto-curious teenagers may be able to try their hand at real crypto trading following the launch of education and trading app Stack – aimed at teaching under-18s how to trade and hold crypto.
The crypto trading app was launched by mobile software firm Stack on September 8, aiming to offer young crypto enthusiasts better educational alternatives to what they can find from crypto influencers on social media platforms like Reddit and TikTok.
Of course, the app comes with parental controls, and the accounts on Stack are regulated under the Uniform Transfers to Minors Act which allows parents and guardians to maintain ownership of the account and assets until their teen turns 18.
In an announcement on September 8, Stack CEO Will Rush highlighted that there is strong demand among Gen Z to learn about crypto, but the educational content they consume online is usually via social media apps or blog posts that arguably lack substance.
The CEO states that Stack is trying to fill a gap in the market by “building content to specifically resonate with teenagers.”
“All our research on Gen Z shows that they are self-taught, but also that they follow trends that develop in minutes rather than days, months or years. This means that all too often TikTok or Reddit is their financial advisor.”
Rush expanded on these comments with fintech news site TechCrunch, stating that “we need a big push to make it relevant to teenagers and looking at educational topics like NFTs, Metaverse and web3.”
“We aim to be the trusted account to democratize investing for young people,” he said.
Alongside educational crypto content, Stack offers buying, selling and holding of seven digital assets including Bitcoin (BTC), Ether (ETH), Cardano (ADA), Solana (SOL), USD Coin (USDC), Litecoin (LTC) and Polygon (MATIC).
Instead of charging trading fees, the crypto exchange app uses a subscription fee of $3 per month.
The crypto app also won’t allow off-platform transfers at this stage, with Rush saying this enables the firm to “eliminate up to 98% of all crypto fraud and scams” occurring in the sector.
The company has also suggested that this will encourage teenagers to become long-term hodlers, rather than focusing on wild day-trading speculation. The app is available on Android and Apple devices, with users over the age of 13 able to sign up.
Alongside the app launch, the firm also revealed that it has raised $2.7 million from Madrona Venture Group.
Related: From Games to Piggy Banks: Educating the Future of “Minor” Bitcoin
The VC firm highlighted in a September 8 blog post that the company is tapping into a growing but underserved market:
“Gen Z is considered an entrepreneurial generation. As a result, many of them are crypto-curious. Coinbase and FTX have served as consumer entry points to crypto through crypto trading and educational content. However, they are unavailable to minors – the next generation of consumers.”
“The team has many high school investment clubs around the country interested in getting into the initial rollout. We think Stack’s 5,000 person waiting list for the iOS or Android app is impressive,” Madrona added.
A survey by the online education platform Study.com in late August found that more than two-thirds of crypto-savvy parents and college graduates in the United States believe that crypto should be taught in schools so that students can “learn about the future of our economy.”
The survey polled 1,094 people, with 67% of respondents saying crypto education should be compulsory in schools.
