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Blockchain markets, green finance investments, and environmental impacts

Author

Listed:
  • Amine Ben Amar

    (ABS - Africa Business School [UM6P, Morocco] - UM6P - Université Mohammed VI Polytechnique = Mohammed VI Polytechnic University [Ben Guerir])

  • Ramzi Benkraiem

    (Audencia Business School)

  • Khaled Guesmi

    (EDC - EDC Paris Business School)

  • Hela Mzoughi

Abstract

In our study, we delve deep into the dynamics of blockchain markets and their ecological ramifications while also shedding light on the invaluable insights gleaned from a risk spillover analysis involving green finance investments, thereby broadening the spectrum of opportunities for portfolio diversification. Employing a robust framework grounded in copulas theory, we meticulously scrutinize the intricate interplay of risk transmission and the dependence structure of green financial products in relation to the blockchain market index. Our investigation, guided by the application of VaR and CoVaR measures, has unearthed compelling findings. We have discerned that the price fluctuations in the clean energy sector have wielded a substantial influence on the blockchain industry, particularly in the wake of the COVID-19 pandemic. Remarkably, our analysis reveals an absence of spillover effects between the blockchain and green bond markets, underscoring the tangible diversification advantages that investors can harness. This becomes pivotal in safeguarding their assets from the inherent risks associated with blockchain investments. Furthermore, we have conducted a rigorous regression analysis to uncover the nuanced relationship between the blockchain's extreme downside risk factor and climate change risk. Notably, the robust coefficient associated with the climate change index serves as a clarion call to investors, environmental organizations, and policymakers alike. It beckons them to accord greater attention to environmental considerations when venturing into the blockchain markets, emphasizing the pressing need for environmentally responsible investments and policy decisions.

Suggested Citation

  • Amine Ben Amar & Ramzi Benkraiem & Khaled Guesmi & Hela Mzoughi, 2024. "Blockchain markets, green finance investments, and environmental impacts," Post-Print hal-04925275, HAL.
    • Handle: RePEc:hal:journl:hal-04925275
    DOI: 10.1016/j.ribaf.2024.102249
    Note: View the original document on HAL open archive server: https://hal.science/hal-04925275v1
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    Cited by:

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    2. Chen, Jin & Meng, Wenfei & Dong, Yang & Zhou, Wei, 2025. "Geographic matching analysis between green finance development and carbon emissions in China’s new era of environmental transition," Research in International Business and Finance, Elsevier, vol. 73(PA).
    3. Ma, Wenhui & Wang, Kai-Hua & Li, Xin, 2025. "Revolutionizing green finance: The synergistic spillover effects of AI, cloud computing, and blockchain," Technology in Society, Elsevier, vol. 83(C).
    4. Shi, Yarong & Yang, Bo, 2025. "China's energy system building toward an era of resilience: How green fintech can empower?," International Review of Economics & Finance, Elsevier, vol. 98(C).
    5. Raza, Ali & Alsulami, Faizah, 2025. "Positive and negative shocks of financial markets on sustainable finance in europe: Evidence from vector auto regression and granger causality," International Review of Economics & Finance, Elsevier, vol. 99(C).
    6. Omri, Henda & Jarraya, Bilel & Kahia, Montassar, 2025. "Green finance for achieving environmental sustainability in G7 countries: Effects and transmission channels," Research in International Business and Finance, Elsevier, vol. 74(C).
    7. Karkowska, Renata & Urjasz, Szczepan, 2024. "Volatility transmission and hedging strategies across green and conventional stocks in global markets," International Review of Financial Analysis, Elsevier, vol. 96(PB).
    8. Cai, Ting & Shi, Xinchun & Shang, Zhaoyan & Zhu, Xinxin & Qi, Jingjing, 2024. "The role of blockchain technology in facilitating finance for metal and mining resources," Resources Policy, Elsevier, vol. 99(C).

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