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The relationship between FinTech and energy markets in China

Author

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  • Huang, Yunying
  • Zhou, Qi
  • Yang, Cunyi
  • Albitar, Khaldoon

Abstract

Understanding the interplay between financial technology (FinTech) and energy transition risks is essential for addressing financial challenges and enabling a smooth energy transition. This study examines the dynamic relationship between FinTech and energy transition risks using the TVP-VAR model, with a time span from July 2017 to April 2024. The results reveal that while FinTech's direct influence on energy transition risks is limited, these risks significantly hinder FinTech's growth. By analyzing three key historical events, we uncover how energy transition risks impede FinTech through mechanisms like energy market volatility and the green electricity market. Unlike conventional static risk assessments, this research offers a dynamic and nuanced perspective on risk management by examining specific measures and market responses during historical events. This approach provides valuable insights for navigating the evolving landscape of FinTech and energy transition, contributing to more effective risk mitigation strategies.

Suggested Citation

  • Huang, Yunying & Zhou, Qi & Yang, Cunyi & Albitar, Khaldoon, 2025. "The relationship between FinTech and energy markets in China," Technological Forecasting and Social Change, Elsevier, vol. 217(C).
    • Handle: RePEc:eee:tefoso:v:217:y:2025:i:c:s0040162525002197
    DOI: 10.1016/j.techfore.2025.124188
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    JEL classification:

    • G20 - Financial Economics - - Financial Institutions and Services - - - General
    • G32 - Financial Economics - - Corporate Finance and Governance - - - Financing Policy; Financial Risk and Risk Management; Capital and Ownership Structure; Value of Firms; Goodwill

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