The development of the cryptocurrency market has been accompanied by public concern about the environmental problems caused by such assets. Based on the novel TVP-VAR frequency-domain connectedness framework, this article explores the connectivity among green/black cryptocurrencies and cryptocurrency environmental attention (ICEA) over different terms. The results show different spillover transmissions between the long-term and short-term. The short-term connectedness is stronger compared with the long-term. Additionally, the pairwise spillovers within the system are different in different durations of time. ICEA is the net recipient of internal spillover. Besides, there is a long-term net spillover from black cryptocurrencies to green cryptos. This study has potential reference value for various market participants and academia.
Purpose This study aims to examine the effect of Industry 4.0 technology on resilience in established cross-border supply chain(s) (SC). Design/methodology/approach A literature review provides insight into the resilience capabilities of cross-border SC. The research uses a case study of operational international SC: the producers, importers, logistics companies and UK Government (UKG) departments. Semi-structured interviews determine the resilience capabilities and approaches of participants within cross-border SC and how implementing an Industry 4.0 Internet of Things (IoT) and capitals Distributed Ledger (blockchain) based technology platform changes SC resilience capabilities and approaches. Findings A blockchain-based platform introduces common assured data, reducing data duplication. When combined with IoT technology, the platform improves end-to-end SC visibility and information sharing. Industry 4.0 technology builds collaboration, trust, improved agility, adaptability and integration. It enables common resilience capabilities and approaches that reduce the de-coupling between government agencies and participants of cross-border SC. Research limitations/implications The case study presents challenges specific to UKGâs customs border operations; research needs to be repeated in different contexts to confirm findings are generalisable. Practical implications Operational SC and UKG customs and excise departments must align their resilience strategies to gain full advantage of Industry 4.0 technologies. Originality/value Case study research shows how Industry 4.0 technology reduces the de-coupling between the SC and UKG, enhancing common resilience capabilities within established cross-border operations. Improved information sharing and SC visibility provided by IoT and blockchain technologies support the development of resilience in established cross-border SC and enhance interactions with UKG at the customs border.
Blockchain technology (BT) enhances the capacity to monitor products consistently, fostering supply chain responsiveness to a wide range of societal and environmental issues. Although BT is known as an innovative tool, there exist potential operational and organizational challenges affecting BT adoption. This study proposes a decision support approach to leverage risk management to analyze potential barriers associated with BT adoption in sustainable supply chains (SSCs). This approach is developed to model how the economic, social, and environmental-related barriers (e.g., energy consumption) and their corresponding risk factors are interrelated. To model the causal relationships (CRs) among the barriers identified through the literature review, the fuzzy cognitive map advanced by Z-number theory is embedded in the proposed approach. Then, a hybrid learning algorithm is employed to determine the criticality of the barriers. As the reliability of information affects the accuracy of decision-making, the Z-number theory applies uncertainty and reliability simultaneously in specifying the values of risk factors and the weights of the CRs. Taking advantage of the learning algorithm and Z-number theory, the findings show a reliable and unbiased ranking compared to the failure mode and effect analysis. This helps managers develop more efficient mitigation strategies to deal with critical barriers. The results of the study also imply that adoption costs, extra audits, and regulatory uncertainty are the critical barriers affecting SSC readiness.
Ewa FederâSempach, Piotr Szczepocki, Joanna BogoĆÄbska
Abstract This article investigates five safe-haven asset responses from 2014 to 2022, including the unprecedented COVID-19 crisis, Russian invasion of Ukraine, and sharp US interest rate increases of 2015 and 2022. We apply the unique approach of the multivariate factor stochastic volatility (MSV) model, which is extremely efficient for financial market analysis and allows us to conduct dynamic factor analysis of safe-haven relationships that cannot be observed directly. The research sample consists of five prospective safe-haven assetsâgold, bitcoin, the euro, the Japanese yen, and the Swiss francâand five primary world stock market indicesâthe S&P 500, Financial Times Stock Exchange (FTSE) 100, DAX, STOXX Europe 600, and Nikkei 225. Our findings are useful for investors searching for the best safe-haven assets among gold, bitcoin, and currencies to hedge against financial turmoil in global stock markets. Our unique findings suggest that safe-haven effects work differently for gold and the yen; that is, the Japanese yen acts as the strongest safe haven across all stock indices. Bitcoin is not a strong safe-haven currency since it has zero days of negative correlations with the considered stock indices, but it is a weak safe-haven during times of financial distress. Consequently, we state that strong and weak safe-haven properties vary across time and place. The novelty of our study lies in the methodological complexity of the MSV model (used for the first time to find the best safe-haven asset properties), dynamic factor analysis, a long-term research sample covering the Russian invasion of Ukraine in 2022, and an international investor perspective focusing on the worldâs leading stock markets. We extend earlier studies by analyzing the interrelations of the worldâs leading stock market indices with five potential safe-haven assets during the long period of 2014â2022 and using a unique dynamic factor analysis to show the differentiated behaviors of the Japanese yen and gold. Additionally, the main innovative contribution is a new framework of weak and strong safe-haven asset classifications not previously applied in the literature.
This paper analyzes the Execution Tickets proposal on Ethereum Research, unveiling its potential to revolutionize the Ethereum blockchain's economic model. At the core of this proposal lies a novel ticketing mechanism poised to redefine how the Ethereum protocol distributes the value associated with proposing execution payloads. This innovative approach enables the Ethereum protocol to directly broker Maximal Extractable Value (MEV), traditionally an external revenue stream for validators. The implementation of Execution Tickets goes beyond optimizing validator compensation; it also introduces a new Ethereum native asset with a market capitalization expected to correlate closely with the present value of all value associated with future block production. The analysis demonstrates that the Execution Ticket system can facilitate a more equitable distribution of value within the Ethereum ecosystem, and pave the way for a more secure and economically robust blockchain network.
This research examines the causal relationships between cryptocurrency uncertainty, the price of crude oil, and the price of gold using weekly data from 30 December 2013, to 21 February 2021, applying Granger-causality analysis on each quantile. Under this approach, we are able to distinguish between median and tail relationships for conditional quantiles. We find a bidirectional causal relationship between cryptocurrency uncertainty and crude oil prices, implying that crude oil price volatility is one source of cryptocurrency uncertainty, whereas a causal relationship from cryptocurrency uncertainty or crude oil prices to gold suggests that gold hedges cryptocurrency uncertainty and crude oil price shocks. Our research calls on governments to maintain cryptocurrency market stability to reduce market volatility in crude oil prices. Investors and fund managers can consider adding gold assets to portfolios that contain cryptocurrencies or crude oil in order to hedge against the risks of cryptocurrency uncertainty and crude oil price volatility.
Cryptocurrency and Bitcoin have gained significant attention in recent years, disrupting traditional banking systems and raising concerns about their impact on the international economy and cybersecurity. Bitcoin, the first and most well-known cryptocurrency, has seen an exponential rise in value since its inception in 2009, reaching an all-time high of over $1 trillion in market cap in 2021. So, cryptocurrency and Bitcoin have significant impacts on the international economy and cybersecurity landscape. While they offer many benefits, they also pose significant challenges and risks. As the technology continues to evolve, it will be essential for governments, financial institutions, and individuals to stay informed and take steps to ensure the security of their digital assets.
This study aims to examine the spillover effects of return and volatility between three different assets (Bitcoin, Gold, and Nasdaq) using GARCH-ARMA models. The data is taken from monthly closing prices from January 2015 to February 2024 through Investing.com. The analysis focuses on understanding how these three assets interact regarding the spillover effect of return and volatility, particularly during periods o f economic uncertainty. Our findings indicate that spillover effects o f return are visible from Bitcoin to Nasdaq, Nasdaq to Bitcoin, and Nasdaq to Gold. In addition, spillover effects o f volatility are visible from Gold to Bitcoin, Bitcoin to Nasdaq, Nasdaq to Bitcoin, and Nasdaq to Gold. Our finding highlights the dynamic relationship between traditional and digital assets, emphasizing Bitcoin's potential role as a financial hedge likely to Gold and Nasdaq.
The article, through the inductive methodology, seeks to investigate some of the innovations that have been employed by the society. This investigation is done through a literature review in order to answer the question: is there any common element among the innovations? The hypothesis proposed is that there is a common element. That element would be the search for optimization, derived from the Law of Least Action. The concepts investigated cover science and technology, algorithm and digital, artificial intelligence, machine learning, decentralization and Distributed Ledger Technology, Blockchain, smart contracts, industrial revolution 4.0 and industrial revolution 5.0. The conclusion attempts to generalize the results found.
The relevance of the research is confirmed by the fact that, with the widespread distribution of ecosystems as high-tech heirs of clusters and platforms, the issues of financing business ecosystems are rarely studied in the scientific literature and do not receive the necessary theoretical generalization. The purpose of the research is to systematize the available forms of financing in industrial business ecosystems within a united digital space. The objectives of this research are defined as clarifying the need to include financing functions in the toolkit of emerging industrial business ecosystems and revealing the possibilities of using selected financing methods. The methods of research , on the one hand, are based on the emerging theory of ecosystems, which develops both as a firmâs theory and as ecosystem management, and on the other hand, on a new concept that can be formulated as a fusion of finance, industrialization and digitalization . The results of the research show that there are several approaches to the organization of ecosystem finance. Ecosystems are reported to be equally susceptible to decentralized and centralized (traditional) financing, providing opportunities to create their own decentralized financial environment as well as collaborating with current cryptocurrency-based services. Several forms of financial organization in ecosystems have been identified: a) compensating costs by forming budgets for the creation and ongoing activities; b) attracting ecosystem participantsâ own funds to various forms of lending (including on the basis of financial technologies). It is concluded that the development of financing instruments depends on three factors: 1) government policies to regulate the financial aspects of business ecosystems; 2) the efficiency of using the resources of ecosystem participants; 3) ecosystem interactions with supply chains. It is determined that a completely new theory of business ecosystem finance will be completed only after the exit from the experimental mode of financing business ecosystems.
This research discusses the causal relationship among the exchange rates, 10-year bond yields, and Central Bank policy rates with regard to the countries known as the Fragile Five (F5) by comparing them to global indicators such as gold, Bitcoin price, and the Volatility Index (VIX). The study takes into consideration the bond yields, exchange rates, and interest rates of TĂŒrkiye, India, Indonesia, South Africa and Brazil in terms of their causal relationship with one another. The study also identifies some causal relationships among gold, bitcoin, and VIX with each other as global indicators by using the Toda Yamamoto approach to the Granger causality test. This study has arrived at the conclusion that a causal relationship exists between exchange rates and interest rates for TĂŒrkiye, Indonesia, and South Africa but not for Brazil or India. VIX is the most significant variable, as it is affected by seven different variables, including policy rates and different exchange rates. In addition, none of the variables are seen to Granger cause bitcoinâs price.
The valuation of the cryptocurrency market surpassed three trillion dollars in 2022, underscoring the burgeoning interest in digital currencies and decentralized finance.In response, on June 7, 2022, a bipartisan initiative led to the introduction of the "Responsible Financial Innovation Act," positioning cryptocurrencies as commodities and designating the Commodity Futures Trading Commission as the primary regulatory authority for the cryptocurrency market.Intriguingly, a study by Kim et al. (2022, JABE & IJBR) utilized a non-Euclidean methodology, suggesting that cryptocurrencies, in terms of their price dynamics, resemble securities more than commodities.However, a critical assessment of Kim et al. (2022, IJBR) reveals a methodological gap: the non-Euclidean distances were employed to derive a Euclidean configuration of 28 asset classes via multi-dimensional scaling.This Euclidean structure was subsequently employed for asset class categorization using -means clustering.This approach, while acknowledging the non-Euclidean distances among the 28 asset classes, leverages a Euclidean embedding for classification.In contrast, our research employs data depth to categorize asset classes without resorting to Euclidean embedding.We compare our findings with those of Kim et al. (2022, JABE & IJBR) for a comprehensive understanding.
Economic systems play pivotal roles in the metaverse. However, we have not yet found an overview that systematically introduces economic systems for the metaverse. Therefore, we review the state-of-the-art solutions, architectures, and systems related to economic systems. When investigating those state-of-the-art studies, we keep two questions in mind: (1) What is the framework of economic systems in the context of the metaverse? and (2) What activities would economic systems engage in the metaverse? This article aims to disclose insights into the economic systems that work for both the current and the future metaverse. To have a clear overview of the economic system framework, we mainly discuss the connections among three fundamental elements in the metaverse, i.e., digital creation, digital assets, and the digital trading market. After that, we elaborate on each topic of the proposed economic system framework. Those topics include incentive mechanisms, monetary systems, digital wallets, decentralized finance activities, and cross-platform interoperability for the metaverse. For each topic, we mainly discuss three questions: (a) the rationale of this topic, (b) why the metaverse needs this topic, and (c) how this topic will evolve in the metaverse. Through this overview, we wish readers can better understand what economic systems the metaverse needs and the insights behind the economic activities in the metaverse.
Initially making its name as the backbone technology of Bitcoin, blockchain has been referred to as a distributed ledger, public database, Internet of value, digital infrastructure, network, and platform. Compared with fluctuating cryptocurrency and non-fungible token (NFT) markets, applications of blockchain technology in more diverse business scenarios have received less attention. By analyzing 16 international business use cases under eight categories of blockchain-based solutions, this article offers a contextualized understanding of the potential for blockchain to become a general-purpose technology (GPT). It discusses how the extensiveness, evolvability, and enabling (3Es) aspects of blockchain influence the value, vision, and viability (3Vs) required for successful real-world applications. The article discusses how firms can draw on lessons from failed cases and good practices of existing cases to enhance the 3Vs for blockchain adoption.