•Population aging significantly encourages the selection of risk-free over risky financial assets.•The digital divide moderates the aging effect on these financial decisions.•Lower-income individuals are more inclined towards risk-free assets. Using prefecture-level census data, this study examines the influence of population aging and the digital divide on Chinese household financial asset choices. Results indicate that aging significantly encourages the selection of risk-free over risky financial assets. Additionally, the digital divide moderates the aging effect on these financial decisions. Analysis also reveals that income levels affect how aging influences asset choice; lower-income individuals are more inclined toward risk-free assets. This study highlights the complex dynamics between demographic trends, technological divides, and financial behavior, emphasizing the nuanced impacts of aging and digital access on financial planning.