The Dynamic Connectedness Between Environmental Attention and Green Cryptocurrency: Evidence From the COVID-19 Pandemic

Abstract

The results indicate a dynamic pattern of interconnectedness throughout history. Based on the findings, the transmission of volatility exhibited a higher magnitude during the period of COVID-19. The issue of high transmission volatility due to limited diversification options concerns investors, green stakeholders, and policymakers alike. This article proposes various potential areas for future research. The ICEA index can potentially assist businesses operating in environmentally sensitive sectors make well-informed policy decisions. It includes sectors such as environmental green bonds, and commodities. Consideration should be given to implementing blockchain technology, as it can consume less power in this particular scenario. By employing a time-frequency paradigm, this study is able to incorporate the investment horizon, a crucial factor to be taken into account when making financial judgments. The advancement of this research could be facilitated by directing our attention toward the implications of our findings on portfolios and developing appropriate measures for their evaluation.