New research from CyberArk, a global leader in identity security, reveals a notable generational disparity in how digital identity is perceived, protected, and exploited. The findings suggest that while Generation Z is willing to invest significantly more than older generations to safeguard their personal data, they also face the greatest risk from cyber threats—raising concerns for both individuals and businesses.
The study, published in April 2025, explores how different age groups view digital identity and security. Among its standout findings is that 71% of Gen Z respondents are prepared to pay over £100 to protect their online identity. This figure contrasts sharply with just 23% of baby boomers willing to make the same financial commitment.
However, this willingness to pay does not equate to immunity. Only 20% of Gen Z respondents reported never having been hacked or having their identity stolen, compared to 41% of baby boomers. Despite being digital natives, the younger cohort appears more exposed to risks online—likely a consequence of higher activity levels and greater integration of personal and professional services on shared platforms.
The report highlights how perceptions of what constitutes “digital identity” differ significantly across generations. Gen Z places higher value on personal media assets such as images (56%), videos (50%), and voice recordings (49%), compared to just 34%, 19%, and 26% respectively among baby boomers. This evolution in digital self-perception points to growing risks tied to emerging technologies, such as facial recognition and voice-based authentication.
David Higgins, Senior Director at CyberArk’s Field Technology Office, explained:
“These findings highlight a stark contrast in how generations approach their digital identities. Gen Z is seemingly more invested in their online presence but they also appear to face higher risks – raising questions about whether their confidence in online platforms is misplaced. As cyber threats continue to evolve, businesses, policymakers and individuals must work together to strengthen digital security, ensuring that every generation can navigate the digital world safely.”
Email compromise remains a universal concern. Across all age groups—57% of Gen Z, 67% of millennials, 65% of Gen X, and 65% of baby boomers—respondents expressed fears over inbox security. But the motivations for those fears vary. For instance, 73% of baby boomers are most worried about financial fraud, whereas only 44% of Gen Z cite this as their main concern. Instead, younger users appear more sensitive to the misuse of facial data (60% of Gen Z vs. 51% of baby boomers), likely due to growing awareness of how AI and biometric technologies can be leveraged for malicious activity.
The report also underscores the blurring lines between personal and professional digital identities. A majority of Gen Z respondents (62%) consider their work email account a core element of their digital identity. Moreover, 43% worry that using the same applications across personal and professional domains increases the likelihood of business accounts being compromised if a personal app is breached.
This is particularly relevant for organisations that rely on hybrid or BYOD (bring your own device) environments, where safeguarding corporate data is intrinsically linked to the digital hygiene of employees. As such, the CyberArk research serves as a timely reminder that identity-based cyber threats are not limited to individual loss—they represent a tangible business risk.
The study offers valuable insight into how different generations are navigating an increasingly complex digital environment. While Gen Z leads the way in prioritising and investing in their digital identity, their higher rate of victimisation suggests a pressing need for more effective education, security controls, and cross-generational awareness campaigns.