Cryptocurrencies Transit to a Carbon Neutral Environment: From Fintech to Greentech Through Clean Energy and Eco-Efficiency Policies

Abstract

Fintech prioritizes the progression of issues related to environmental conservation and the consequences of climate change. This study is among the first investigations exploring the relationship between fintech and sustainable energy. It presents potential financial models that might be developed to assist companies in remaining operational via the use of renewable and clean energy sources. We employ a bibliometric analysis as the statistical methodology to address the study topic. We extract bibliometric data from the Scopus database employing the Preferred Reporting Items for Systematic reviews and Meta-Analyses (PRISMA) approach, thereafter analyzing the data with the R statistical programming language and the bibliometric applications Biblioshiny and VOSviewer. The results of the research indicate that fintech companies are committed to achieving carbon neutrality and investing in strategies such as environmental, social, and corporate governance (ESG) which may help them reduce their carbon footprint and enhance their eco-efficiency. In contrast to the United Kingdom, which is frequently regarded as the world’s preeminent financial center, Chinese fintech enterprises appear to demonstrate a more fervent dedication to the improvement of their ecological transition. However, the results, ultimately, emphasize the transition of fintech to an alternative paradigm, namely greentech. Greentech is a new fintech-dependent paradigm which will help cryptocurrencies and fintech reduce their environmental impact and promote carbon-neutral financial institutions via investment. Greentech aims to decarbonize the financial industry by investing in renewable resources and clean energy, therefore enhancing the sector’s environmental sustainability.

1. Introduction

The public’s interest in cryptocurrencies has significantly increased since the emergence of this innovative financial and investment paradigm in the past decade. The primary objective of Bitcoin, the most prominent cryptocurrency, was to enable electronic monetary transfers between locations, thereby circumventing conventional financial institutions. Cryptocurrencies are advocated as a means of optimizing transaction inventory management. The public regards these new electronic currencies as reliable due to the fact that their proprietors are permitted to utilize them only once. Marketers portray them as a peer-to-peer variation of electronic monetary transactions that operate with minimal coordination, utilizing a network of nodes [1].

Despite the substantial benefits of this innovative financial strategy, there are currently concerns regarding its environmental impact. The mining process and the pervasive use of technology in currency transactions have caused significant concern among environmentalists, particularly those who are concerned with climate change. The recent increase in the importance of cryptocurrencies, particularly in developed countries, has sparked a contentious debate regarding environmental sustainability. The argument for an environmentally favorable environment posits that cryptocurrencies are harmful to the environment due to their reliance on significant power consumption for mining activities. The mechanism of cryptocurrencies entails holders competing to add new blocks through mining, a procedure that causes environmental harm [2,3].

The energy consumption of cryptocurrencies, particularly Bitcoin, that employ ASIC algorithms [4] is arguably greater than the [1,2] energy associated with its market capitalization [4]. These currencies represent numerous potential technological innovations. As an outcome, blockchain technology has been adopted by numerous sectors, such as supply chain management and corporate operations and taxation. Additionally, blockchain technology is implemented in the commercial and infrastructural sectors. Blockchain technologies are also being implemented by academics, particularly in the field of management. In the context of the fourth industrial revolution, ref. [5] contend that the deployment of sophisticated blockchains is essential. The significance of blockchain technology is suggested to be the reason behind the production of over 100 million kg of CO₂ emissions annually by cryptocurrencies, particularly Bitcoin, according to an initial assessment [6]. Bitcoin mining generates 17.29 metric tons of CO₂, according to [7] empirical investigation [5].

At present, there are both positive and negative viewpoints on the prospective environmental consequences of cryptocurrencies. According to [8], the potential for Bitcoin diversification is substantial, as evidenced by its exceptional renewable energy hedging ratio and effectiveness [8]. Ref. [7] argue that there is a lack of a strong correlation between green cryptocurrencies and Bitcoin and Ethereum, suggesting that there is a need for a greater number of green financial assets [7]. A comprehensive policy evaluation is required because of the significant influence of stock market fluctuations on green assets in the United States. Furthermore, the sustainability of Bitcoin mining is significantly enhanced by the transition to renewable energy. For instance, the carbon footprint of certain mining operations is significantly diminished through the utilization of solar, wind, and hydropower. Additionally, CoinShares discloses that approximately 39% of Bitcoin mining is powered by renewable energy sources. Additionally, the widespread implementation of renewable energy must be encouraged by governments, regulators, and miners. China’s regulatory actions against coal extraction have incited corporations to relocate to the United States and Canada, both of which possess a greater abundance of renewable energy resources. Therefore, it is essential to conduct additional research on the Bitcoin sector’s dedication to reducing its carbon footprint by implementing renewable energy principles, while taking into account a variety of viewpoints [9,10].

The primary objective of this research is to evaluate the Bitcoin market’s readiness to adopt clean energy principles and comply with the renewable energy sector. Specifically, the contribution of this study is to highlight the role of fintech companies in the sustainable transition of the cryptocurrency market, as fintech incorporates the creation and utilization of cryptocurrencies. To accomplish its objectives, the investigation implements a bibliometric analysis using R Studio, Biblioshiny, and VOSviewer. The 179 scholastic articles obtained from the Scopus database for the fiscal years 2020–2024 serve as evidence that the research subject is rather original and distinctive within the academic community. The results suggest that fintech companies are making a concerted effort to invest in environmental initiatives, thereby enhancing the eco-efficiency of the Bitcoin sector. The results underscore the correlation among renewable energy, cryptocurrency, and geopolitical risk. The geopolitical risk index explicitly denotes the impact of international tensions on markets which, in turn, affects energy prices and investment flows. At the same time, Bitcoin emissions present a dual challenge: the development of sustainable energy for blockchain systems and the escalation of energy demand.

The research articles are categorized in Section 2, Section 3 and Section 4. Section 2 analyzes the literature, Section 3 specifies the materials and methods implemented to accomplish the research objective, and Section 4 presents the findings. Additionally, Section 5 evaluates the results and includes the implications, constraints, and suggestions for future research. Finally, Section 6 concludes the paper.

2. Fintech and Clean Energy: The Driving Force Behind the Energy Transition

Numerous environmental academicians and professionals have expressed curiosity regarding the ecological consequences of cryptocurrency mining. Numerous investigations have investigated the environmental consequences of cryptocurrency mining.

Another pertinent examination is Putranti’s “Crypto Mining: Indonesia Carbon Tax Challenges and Safeguarding International Commitment on Human Security” [11]. The author emphasizes that the ecological footprint associated with cryptocurrency mining in Indonesia is primarily due to its substantial electricity consumption. The authors analyze a variety of mitigation strategies that are associated with the regulation of cryptocurrency mining operations and investigate the potential consequences of Indonesia’s carbon tax policy to resolve this matter. The author posits that the ongoing development of the cryptocurrency industry can be facilitated by the implementation of carbon tax policies through regulatory derivation, while the negative impacts on the economy and environment are mitigated. Alonso et al. conducted an additional study entitled “Cryptocurrency Mining from an Economic and Environmental Perspective: Analysis of the Most and Least Sustainable Countries” [12]. The authors of this study conducted an analysis of numerous factors that influence cryptocurrency mining, such as energy costs, energy generation technologies, temperature, legislation, capital, and research and development organizations. These components are essential to the sustainability of Bitcoin mining. The negative environmental effects of cryptocurrency mining can be mitigated by implementing sustainable mining procedures.

The energy sector has seen substantial initial applications of blockchain and related technologies, such as peer-to-peer energy trading, climate financing, and carbon credit trading. These technologies have the potential to be applied in blockchain, fintech, and cryptocurrency markets, as part of the sustainable development goals (SDGs). The financial sector has demonstrated an increasing interest in the potential of blockchain applications to improve the efficiency of settlement and other intermediate activities. The energy sector, which is the second most significant, has exhibited interest in the potential of blockchain transforming traditional business structures. The World Energy Council, in 2017, identified blockchain as “one of the most critical uncertainties”, stating that “energy executives globally perceive it as an issue of both relatively high impact and uncertainty” [13,14].

The energy sector has faced the most significant and unexpected challenges, including the Internet of Things blockchain. A blockchain has the capacity to eliminate intermediaries in utility business models that are reliant on centralized generation and grid delivery. This has significant implications for decentralized infrastructures and distributed energy systems [15,16,17,18]. A blockchain has the potential to establish more direct connections between energy producers and consumers, thereby increasing the likelihood of small energy suppliers and prosumers participating in the market, despite its infancy. The development of direct and autonomous energy supply contracts between producers and consumers within a decentralized energy system can be facilitated by blockchain technology [19,20].

Nevertheless, the Bitcoin market and fintech not only provide a means of investing in renewable projects, but also provide solutions that deconstruct production, financial analysis, and portfolio performance. Furthermore, it is possible to trace electricity, a fact which will improve energy efficiency. These components are indispensable for energy transfer, which will indeed transpire. The deployment of renewable energy and the transition to a sustainable future are significantly and positively influenced by the financial sector. Furthermore, technology and inventions are equally significant. Rather than separating the two, why not combine them to expedite and enhance the process? Financial technology will be a critical element of the energy transition [21,22].

Fintech innovations enhance digital technology to revolutionize financial operations and provide new opportunities for promoting positive environmental outcomes. These modern platforms facilitate the issuance and trading of green bonds and other sustainable financial instruments aimed at financing ecological projects, such as renewable energy initiatives and energy-efficient building activities. Fintech has emerged as a revolutionary tool in the domain of climate funding. Fintech innovations, including technology and AI, provide the potential to transform climate funding approaches by improving transparency and accessibility. Furthermore, fintech has the capacity to transform service delivery and address social challenges, including environmental sustainability. Fintech may accelerate the transition to a more sustainable economy by using technology to improve financial mechanisms such as bonds, carbon trading platforms, and impact investments. Fintech has significantly revolutionized climate finance by introducing solutions that improve the effectiveness and efficiency of financial operations while promoting environmental sustainability.

3. Materials and Methods

The current study is further elaborated upon in Section 3 and employs the statistical method of a bibliometric analysis. A bibliometric analysis is a critical instrument for analyzing the citation metrics and numerous statistical dimensions of research papers. The examination of statistical data related to published research is facilitated by bibliometrics. Additionally, bibliometric analyses are acknowledged as a dependable and frequently employed method for the evaluation of extensive scientific data by the scientific community. The establishment of study fields is influenced by the advancement in a discipline. Bibliometric analyses have been employed by academics to achieve a variety of objectives, such as the assessment of published literature, the identification of emerging research trends, and the comprehension of collaboration patterns. Additionally, it is imperative to employ the appropriate search terms when querying the database. These articles were assembled using a set of keywords that are incorporated into the keyword research technique illustrated in

Table 1. Keyword search formulae. Source: own elaboration.

Step	Keyword Search
1	((“cryptocurrencies” AND “energy”))
2	((“cryptocurrencies”) AND (“FinTech”) AND (“energy”) AND (“carbon neutral”))
3	((“cryptocurrencies”) AND (“FinTech”) AND (“energy” OR “renewable energy”) AND (“carbon neutral”))
4	((“cryptocurrencies”) AND (“FinTech”) AND (“energy” OR “renewable energy” OR “clear energy”) AND (“carbon neutral”))
5	((“cryptocurrencies”) AND (“FinTech”) AND (“energy” OR “renewable energy” OR “clear energy”) AND (“carbon neutral” OR “sustainability”))
6	((“cryptocurrencies”) AND (“FinTech”) AND (“energy” OR “renewable energy” OR “clear energy”) AND (“carbon neutral” OR “sustainability” OR “sustainable development”))
7	((“cryptocurrencies”) AND (“FinTech” OR “financial technology”) AND (“energy” OR “renewable energy” OR “clear energy”) AND (“carbon neutral” OR “sustainability” OR “sustainable development”))
8	((“cryptocurrencies”) AND (“FinTech” OR “financial technology”) AND (“energy” OR “renewable energy” OR “clear energy”) AND (“carbon neutral” OR “sustainability” OR “sustainable development”))
9	((“cryptocurrencies” OR “crypto” OR “blochchain”) AND (“FinTech” OR “financial technology”) AND (“energy” OR “renewable energy” OR “clear energy”) AND (“carbon neutral” OR “sustainability” OR “sustainable development”))
10	((“cryptocurrencies” OR “crypto” OR “blochchain”) AND (“FinTech” OR “financial technology”) AND (“energy” OR “renewable energy” OR “clear energy”) AND (“carbon neutral” OR “sustainability” OR “sustainable development”)) AND (LIMIT-TO (DOCTYPE, “ar”)) AND (LIMIT-TO (PUBSTAGE, “final”) OR LIMIT-TO (PUBSTAGE, “aip”)) AND (LIMIT-TO (SRCTYPE, “j”))

. At first, we employed the keyword research methodology to conduct an advanced search, with an emphasis on the titles and keywords of scientific publications in the Scopus database from 2020 to 2024. This database was chosen for its capacity to enhance the functionality of literature research and facilitate bibliographic analysis [23,24,25].

The effectiveness of the research in a certain field is evaluated by analyzing units of analysis, such as authors, publications, and institutions. Performance-related indicators and VOSviewer were utilized to demonstrate the bibliographic relationship. We, subsequently, provide data suitable for analysis, focusing specifically on two essential aspects of a bibliometric analysis: scientific mapping and performance assessment. This study employs all three approaches to perform a comprehensive bibliometric evaluation. This study utilizes performance analysis metrics and the Biblioshiny network analysis tool to visually represent contemporary prevalent research topics and thematic maps, as delineated by the researchers. The researchers utilized performance assessment tools, scientific mapping methodologies, and network analysis approaches to assess the effectiveness of their study and enhance visualization. We utilized performance metrics such the h-index, total citations, and publication counts to discern the most distinguished authors, institutions, and journals. The clustering approach was utilized to locate words associated with a common topic [26,27].

This study employed the R program, encompassing a complete range of tools for the meticulous analysis of accessible data. Bibliometrix is an open-source software that facilitates the extensive study of scientific literature for the purpose of science mapping. This tool enables quantitative bibliometric analyses for researchers. The bibliographic data from sources like Scopus were precisely imported using the R language-based RStudio version 3.6.0+ tool. The importance of the programming language R and its related libraries has been extensively examined across several scientific fields. The researchers utilized the Biblioshiny online tool, part of the Bibliometrix 4.0. software, for the bibliometric analysis in this study owing to its user-friendly interface, as indicated on the official website. The software tools utilized in this study are accessible to everybody, particularly to those involved in academic pursuits. These devices enable the detection of common trends and shortcomings in the current published literature and databases. Publication clustering is enhanced by intuitive apps like Mendeley and VOSviewer, both of which support those with limited computer skills or insufficient knowledge of clustering techniques. Furthermore, to create visual representations and perform data analysis, it is essential to consider three hierarchical metrics: sources, authors, and documents. Three structured knowledge frameworks were used, consisting of (i) a conceptual framework that utilizes network analysis, factorial analysis, and theme mapping techniques, (ii) an intellectual framework that employs network analysis and historiographical methods, and (iii) a social framework that applies a connection network methodology [28,29].

Data

The Scopus database was used to obtain the data for the present study. Scopus, the most comprehensive database of scientific peer-reviewed literature, is offered by Elsevier BV, located in the United States. It encompasses over 23,000 works and has undergone extensive scientific investigations by international publishers. The aim of this approach is to get a comprehensive grasp on the theoretical foundations of the procedures used in this domain. The main aim is to identify research deficiencies and provide avenues for further investigations. Furthermore, we used the PRISMA approach for data collection (Figure 1) which provides the conceptual foundation for executing bibliometric analyses and pinpointing pertinent scientific articles. To guarantee that the final compilation of papers specifically tackles this topic and emphasizes the trends and importance of the cryptocurrencies market’s shift to a carbon-neutral environment, we instituted a thorough screening procedure for this study. We further assessed the research by restricting the document types to just research papers. This was executed to ensure the consistency and uniformity of the analysis of the articles for this study.

The PRISMA flow diagram, shown in Figure 1, delineates the essential processes used in the systematic selection of articles for the bibliometric study. A total of 564 sources were identified in the collection based on the search queries. Nevertheless, the overall count of the articles was reduced to 397, with the selection limited only to articles. We conducted a thorough assessment of 269 research articles, excluding those that were very generic or lacked a clear association, since they were unsuitable for our current investigation. The primary aim of this study is to analyze the trajectory of the Bitcoin market’s shift toward a carbon-neutral ecosystem, including the use of renewable energy. Upon a thorough review of the documents, we determined that the names or keywords of several selected sources inadequately reflected the attributes and nuances of the issue under investigation. We adjusted the search criteria to exclude superfluous references and to include only studies relevant to the current inquiry. A total of 179 academic papers were identified and included into the bibliometric study using this filtering method.

Further, the inclusion and exclusion criteria employed in the PRISMA methodology, which facilitates the source selection process, were as follows: (i) publication date, (ii) the relationship among fintech, sustainability, and stablecoins, (iii) language of publication (only English language research studies were included), and (iv) geographic considerations, encompassing specific regions, states, countries, or populations. Subsequently, each of these publications was included into the bibliometric research.

4. Results

4.1. Descriptive Analysis

The results of the bibliometric analysis are detailed in Section 4. To illustrate the preliminary phases of our investigation in the area, we initially undertook a fundamental descriptive analysis. The descriptive analysis was intended to investigate and offer a comprehensive overview of the writers, their connections, and nations, as well as the sources of the documents, including their contents and bibliographies. The objective of this research is to conduct a comprehensive assessment of the entire field of study. The incorporation of a diverse array of research materials that had been accumulated was necessary for this study for a variety of reasons. Using publications that contain pertinent keywords in their titles can result in substantial scientific progress.

Figure 2 illustrates the progression of research articles in finance and their shift toward renewable energy to promote a carbon-neutral world. This statistic indicates that the exploration of this study’s topic began in 2020, indicating that it is a very nascent area. A steady increase is seen in the early phase of the graph, covering the years 2020 to 2022, during which just 18 articles were released. Nonetheless, the need for research publications in cryptocurrencies, fintech, and the transition to a carbon-neutral world via renewable energy laws and practices has significantly risen since 2023. In 2023, scholars released 40 research papers, and, by 2024, they had produced 85 research documents. Further, a linear curve was mathematically fitted, resulting in a correlation value of R² = 0.7159. This value suggests that 28.4% of the variability was unaccounted for by the model. In addition, the observed data were fitted with an exponential function, which resulted in an R² value of 0.8736 and a residual variability percentage of 12.6%. The principles of Lotka’s law were properly satisfied, and the database under investigation was more appropriately aligned with the exponential adjustment. Given that the correlation coefficient was less than 1, it is imperative to recognize the substantial degree of variability.

Figure 3 illustrates the journals with the most publications in the field between the years 2022 and 2024. Resources Policy (eleven publications), International Review of Economics and Finance (nine publications), and Energy Economics were the journals with the most research publications in the field under investigation. Additionally, the journals of Environmental Science and Pollution Research (seven publications) and International Review of Financial Analysis (seven publications) were those which fulfilled the list of the most impactful sources in the field of fintech and their compliance with the environmental principles.

Moreover, Figure 4 illustrates the writers who substantially impacted the topic examined in this study. Dr. Mahdi Ghaemi Asl was the preeminent author in the domains of fintech and renewable energy. Dr. Mahdi Ghaemi Asl is an Associate Professor specializing in economics and Islamic banking at the Faculty of Economics, Kharazmi University. Dr. Mahdi Ghaemi Asl’s recent study, “Analyzing the Interplay Between Eco-Friendly and Islamic Digital Currencies and Green Investments”, aims to clarify the relationship between digital innovations and sustainable investments, specifically their roles in enhancing economic resilience and sustainability within the energy sector, an aspect which this research also examines [30]. The research investigated the potential ramifications of the extensive implementation of energy-intensive cryptocurrency technologies, particularly those that mostly depend on non-renewable energy sources. The research indicated that the correlation between cryptocurrency-driven digital innovations and long-term investments was most pronounced during bull markets characterized by substantial returns and pronounced tails, but not in the Dash Green market. Bitcoin and Stellar had the strongest relationship with environmentally sustainable financial initiatives across diverse market conditions, signifying their significant involvement in sustainable investing portfolios. The connection score from an Elman neural network indicated that green-synthesized Bitcoin advancements were associated with more non-linear dynamic information compared to other digital technologies. This research enhances academic comprehension of the relationship between cryptocurrency-driven digital innovations and sustainable investments by clarifying their dynamics across various market situations. Different results highlight the need for more research to thoroughly understand the complex interactions among different assets, especially at various quantile levels, and to guide prudent investment choices in sustainable finance [31,32,33,34,35,36,37,38].

Furthermore, Dr. Umar M. was the second most influential individual in the fields of sustainable energy, fintech, and cryptocurrency. Dr. Umar M. is an Associate Professor of finance at the Lebanese American University. In 2022, Web of Science recognized him as a Highly Cited Researcher and included his name in the World’s Most Influential Researchers list, which represents the top 1% of researchers worldwide. Additionally, his enthusiasm for green finance, energy economics, financial and resource markets, investment and financial analysis, behavioral finance, empirical finance, financial risk management, portfolio management, and cryptocurrency assets is substantial. The Copula-CoVaR methodology was employed to evaluate the efficacy of hedging strategies and the intricate relationship between environmentally sustainable cryptocurrencies, also known as “green cryptocurrencies”, and conventional energy sources, referred to as “dirty fuels”, in a recent paper by the author Umar M. The objective of this investigation is to clarify the interactions between these two distinct asset classes in terms of risk and return spillovers. The findings of his research suggest that there are significant spillovers of extraordinary returns, a phenomenon which underscores the intricate relationship between green cryptocurrency and fossil fuels. Alas, the results demonstrate a substantial correlation, in contrast to the widely accepted decoupling hypothesis, which asserts that green assets operate independently of conventional investment assets.

Figure 5 demonstrates that the School of Economics at Qingdao University occupied the first position among associations with the greatest impact in the discipline. Qingdao University founded the School of Economics in 2000. The current entity’s precursor is the Department of Finance and Monetary Economics, founded in 1992. The School of Economics has six academic departments: the Department of Economics, the Department of Public Finance, the Department of Finance, the Department of Insurance, the Department of Statistics, and the Department of International Economy and Trade. The departments offer seven undergraduate majors: Economics, Finance, Financial Engineering, Public Finance, Insurance, Economic Statistics, and International Economics and Trade. The field of economics enriches the academic structure by offering two Level 1 master’s degrees: Theoretical Economics and Applied Economics. The degrees encompass second-level disciplines such as finance, public finance, regional economics, statistics, quantitative economics, industrial economics, international trade, population resources and environmental economics, Western economics, world economics, and political economics, along with three professional master’s programs in finance, insurance, and statistics.

Table 2. Most impactful research papers in the field. Source: Scopus/Biblioshiny.

Paper	Total Citations	TC per Year	Normalized TC
Nexus between green finance, fintech, and high-quality economic development: Empirical evidence from China [31]	265	66.25	2.26
Green bonds for sustainable development: Review of literature on development and impact of green bonds [32]	169	56.33	3.40
A review of Blockchain Technology applications for financial services [33]	123	41.00	2.47
Discovering research trends and opportunities of green finance and energy policy: A data-driven scientometric analysis [34]	112	28.00	0.95
Natural resources, green innovation, fintech, and sustainability: A fresh insight from BRICS [35]	96	48.00	3.98
Is fintech the new path to sustainable resource utilisation and economic development? [36]	77	38.50	3.19
Sustainable Finance and Fintech: Can Technology Contribute to Achieving Environmental Goals? A Preliminary Assessment of ‘Green Fintech’ and ‘Sustainable Digital Finance’ [37]	76	25.33	1.53
The role of fintech in promoting green finance, and profitability: Evidence from the banking sector in the euro zone [38]	70	35.00	2.90
Interdependence of clean energy and green markets with cryptocurrencies [39]	64	32.00	2.65
From moon landing to metaverse: Tracing the evolution of Technological Forecasting and Social Change [40]	61	30.50	2.53

presents the most significant research articles pertinent to the subject matter under examination, ending the descriptive analysis of the bibliometric data. The article “Nexus between green finance, fintech, and high-quality economic development: Empirical evidence from China” by Yang, Su, and Yao (2021) is significant for its considerable impact. This research empirically examines the influence of green finance and fintech on the advancement of high-quality economies. This study examines the relationships among high-quality economic development, fintech, and green finance using panel regression analysis using a two-step generalized method of moments (GMM) to address the endogeneity problem. We obtained data from 30 provinces and municipalities in China, covering the years 2007 to 2019. This study demonstrates that green finance substantially promotes high-quality economic growth by favorably impacting the natural environment, economic efficiency, and economic structure. Furthermore, fintech enhances the positive impacts of green finance on both the economy and the environment, yet it exerts minimal influence on the relationship between economic efficiency and green finance. Our research suggests that policymakers should adopt three strategies: formulate medium- and long-term policies to advance green finance in the private sector, create a framework for environmental disclosure to assess the efficacy of green finance in local governments, and promote the incorporation of fintech into green finance.

The only study piece that directly examines the relationship between the cryptocurrency market and clean energy is “Interdependence of Clean Energy and Green Markets with Cryptocurrencies” by [39]. The significant energy usage of cryptocurrencies has garnered the attention of several governments and industry participants owing to its adverse impacts on sustainability and the environment. Between 1 January 2018 and 30 November 2021, we utilized a network model to analyze the interdependence of renewable energy, green markets, and cryptocurrencies. Our findings demonstrate that the network system was significantly affected by sustainable investments, particularly DJSI and ESGL, during the COVID-19 pandemic. Our study demonstrates that green bonds provide significant diversification advantages to investors, as they show limited correlation with other financial markets. The rolling windows study revealed that the dependency within the examined market markedly intensified throughout the COVID-19 crisis, especially from March 2020 to March 2021. Thereafter, the dependency decreased and remained stable and weak until the end of the study period. The conclusions of the centrality network align with those of the dependency network analysis.

4.2. Bibliometric Analysis

Figure 6 illustrates a Sankey diagram linking authors, nations, and keywords. This mapping type serves as the foundational framework for the formation of research groups. The findings may assist policymakers in pinpointing areas for more research on this topic. This flow diagram illustrates the movement from authors to countries and from countries to authors’ keywords, with the arrow widths corresponding to the flow rate of the shown extended property. The Sankey diagram illustrates significant citations by authors, particularly from China and India, regarding the crucial role of financial technology (fintech) firms in advancing sustainable finance through the reduction of transaction costs, enhancement of capital efficiency, and mitigation of information asymmetries. Consequently, these pioneering companies are facilitating greater accessibility to green finance, improving risk management strategies, and promoting a more equitable financial environment.

The Sankey diagram illustrates the role of fintech in promoting sustainable development, particularly through green finance initiatives. This transformation is rooted in the potential of fintech to substantially improve the efficacy of resource allocation, particularly in the context of renewable and sustainable energy sources. Environmental and ecological outcomes have been significantly influenced by the energy sector, which has consistently been a critical component of discussions regarding sustainable development and green growth. The allocation of capital to green and renewable energy initiatives has been substantially improved by the emergence of fintech platforms. Green bonds and peer-to-peer financing platforms have become essential tools for raising funds for sustainable energy initiatives. Nevertheless, the impact of fintech on green development is indirect. Even though fintech provides tools and platforms, the energy industry’s transition to sustainable practices is fundamentally dependent on legislation, regulations, and extensive stakeholder engagement. One of the most prominent concepts is “energy transition.” The term “energy transition” denotes the persistent structural modifications that transpire within energy systems. Nevertheless, these transitions may be influenced by technical innovations, such as fintech, and may necessitate extensive systemic transformations [21,37,41,42,43].

The Sankey diagram of this study also reveals a new frontier in sustainable development: the relationship between fintech and environmental, social, and governance (ESG) factors. The truth is that these factors have evolved from being peripheral concerns to becoming essential components of corporate strategy and investment decisions. The growing recognition that sustainable practices are not only ethically imperative but also financially advantageous in the long term is the driving force behind this transition. Companies that implement ESG principles are more effectively positioned to mitigate risks, capitalize on new opportunities, and align with the evolving values of investors and consumers [21,44]. Additionally, the ESG agenda is being further energized by the increasingly ambitious climate change targets established by governments and international organizations. These commitments necessitate the creation of innovative solutions to meet the demands of a sustainable, low-carbon future. This is where fintech enters the picture, offering a diverse array of platforms and tools that can expedite and facilitate the achievement of ESG objectives [45].

The transition to a sustainable economy necessitates substantial investments in climate change mitigation initiatives and renewable energy sources. By providing financial assistance for renewable energy initiatives in the solar, wind, and other sectors, fintech platforms are becoming increasingly important in facilitating the transition. These platforms facilitate the connection between investors and activities that align with their beliefs, thereby facilitating more targeted and effective investments in the struggle against climate change. These fintech solutions have the potential to facilitate the financing of green projects through technology, thereby reducing the barriers to entry for both investors and project developers. This is essential for the enhancement of the global response to climate change, as it facilitates the equitable distribution of green cash [15,44]. The prerequisite for transparent and precise carbon monitoring and accounting has become more imperative as businesses worldwide commit to reducing their carbon footprints. Sophisticated solutions are being developed by fintech companies to enable businesses to more effectively monitor, report, and manage their carbon emissions. Furthermore, these platforms provide critical insights into the ways in which organizations can enhance their operations to ensure compliance with the increasingly stringent regulatory requirements and reduce emissions. By incorporating carbon accounting into their financial systems, companies can make more informed decisions that are in line with their ESG objectives [46,47,48].

In addition, Figure 7 supports the points by demonstrating the research trends in fintech concepts and their correlation with sustainable energy, as well as the practices that are essential for the establishment of a carbon-neutral environment. Over the course of time, Figure 7 illustrates numerous advancements in the fields of renewable energy, sustainability, and fintech. Various obstacles that have been critical to scholars’ investigations of this connection may be emphasized by the subject’s trend. In addition, the topic’s chronological progression is demonstrated annually. It indicates the topics that have been thoroughly investigated and those that have recently been included in the research agenda. The graph illustrates the progression of the study subjects over time. Subsequently, the association between fintech and sustainable development is underscored by the implementation of renewable energy practices, suggesting that additional research is required to clarify the specifics of this relationship [49,50].

The co-occurrence analysis, derived from the keywords employed by the authors, constitutes the last element of the bibliometric analysis in this study. This is seen in Figure 8. The study revealed six categories, each defined by a unique color. The red cluster was labeled “green bonds”, the green cluster “green finance”, the yellow cluster “ESG in cryptocurrencies”, the purple cluster “fintech”, the blue cluster “clean energy”, and the sky-blue cluster “cryptocurrency.” The co-occurrence study indicates a robust association among fintech, sustainability, and renewable energy, possibly transforming fintech into a new green industry called greentech [51,52]. Greentech signifies a fusion of financial solutions and environmental sustainability objectives. The concept utilizes innovative financial technologies to promote sustainable behaviors within the financial sector and address environmental challenges. Investing in sustainable energy practices and renewable energy sources does this [44].

Greentech firms set explicit goals, including the reduction of CO₂ emissions, pollution, waste, and the preservation of global ecosystems. Greentech firms address the most urgent issues confronting global society using scientific technology, methodologies, and concepts. Their business methods are sustainable across financial, social, and environmental aspects. Profit growth sustains and enhances the organization’s positive impact on the environment. The primary concerns of greentech companies are the prevention of greenwashing and the encouragement of honest communication. The purpose of communication is to inspire and inform, therefore facilitating the transition to sustainable systems. Greentech firms demonstrate exemplary practices by reducing their carbon impact and providing compensation where necessary. Furthermore, greentech businesses have an unrestricted scope of focus, provided that the subsequent conditions are satisfied: (i) established to save the environment, (ii) possess a science-based, quantifiable impact, and (iii) adhere to their objective without resorting to greenwashing. Consequently, greentech firms have a singular objective: to convert our systems and civilizations into entities that flourish within planetary limits [35,53].

5. Discussion

Through innovative financial inclusion and transitions to renewable energy, emerging economies have the potential to achieve revolutionary sustainable economic growth. This diverse coalition of nations which spans numerous continents and economic conditions has the potential to create a future that is defined by collective progress and prosperity. The potential for significant economic development is apparent in both the least developed countries and emerging powers like Indonesia and India. The global discourse on energy and climate futures is being increasingly integrated into the decision-making frameworks of emerging and developing economies. Their contribution to renewable energy investment is disproportionately minimal, accounting for only one-fifth of global investments and a meager one-tenth of overall financial resources, even though they make up a significant two-third of the global population [54,55]. The persistent COVID-19 epidemic has exacerbated their economic conditions, a phenomenon which has further exacerbated the challenges associated with securing financing for sustainable energy initiatives.

Fintech has emerged as a critical actor in addressing these challenges. It is at the forefront of economic progress due to its ability to enhance accessibility, optimize financial processes, and encourage innovation [16,36,46]. The transition process commences with a focus on energy efficiency, grid enhancements, and sustainable energy. Fintech solutions have the potential to substantially improve the efficiency of renewable energy investments, minimize costs, and optimize financial operations in emerging and developing nations, as power consumption is expected to increase. Clean energy is essential for the development and transition of plans; however, it is also essential to reduce emissions in energy-intensive industries and transition away from conventional fuels. This necessitates the implementation of technologies such as hydrogen and carbon capture, the utilization of greener fuels, and improvements in industrial efficiency. The funding of these endeavors can be facilitated by fintech, which, through its speed and creativity, can ensure an uninterrupted flow of finance to enterprises that are creating a sustainable future [56,57,58,59]. The affordability of renewable energy transitions is contingent upon the reduction of capital costs, a significant challenge considering the already high costs in emergent and developing nations in comparison to established economies. By refining financial procedures, facilitating expedited and transparent transactions, and introducing innovative funding models, fintech businesses are a critical component for reducing the costs associated with financing renewable energy projects. They have the potential to reduce the affordability disparity and accelerate the transition to more environmentally friendly energy sources by establishing more efficient and cost-effective financing arrangements.

The results of the present study illustrate the substantial revolutionary potential of fintech in facilitating sustainable energy transitions and promoting financial inclusion in emergent and developing nations. Fintech has the potential to revolutionize the financial environment by leveraging technology and innovation, thereby improving efficiency, inclusivity, and support for sustainable development. Fintech is at the forefront of the imminent decade, something which is essential for the advancement of global climate action, the attainment of sustainable development objectives, and economic recovery. The nascent connection between ESG and fintech concerns is emphasized in this report. Fintech examines specific aspects, including ESG performance and machine learning, and emphasizes the need for additional research and collaboration [21,44].

The relationships between fintech and the three dimensions of ESG are being increasingly examined through comprehensive evaluations. However, the current state of research is equivocal, as only a small number of studies have been conducted. This is despite the fact that ESG encompasses a wide range of concerns, such as human rights, waste management, climate change, executive compensation, occupational health and safety, and board responsibility. In addition, the examination of the correlation between ESG and fintech nodes (Figure 8) reveals additional concepts, including industry 4.0, industrial technology, machine learning, and artificial intelligence, all of which are associated with environmental and corporate governance issues. It appears that corporate governance and environmental issues are interconnected, as evidenced by the presence of a variety of keywords in numerous clusters. The regulatory and supervisory guidelines can be more effectively structured by examining these connections. Additionally, it may be imperative for financial and non-financial organizations to evaluate these obstacles to develop sustainable long-term strategies [60,61,62,63].

Additionally, it is a fact that environmental, social, and governance (ESG) considerations have evolved from peripheral concerns to central pillars of corporate strategy and investment decisions. Sustainable practices are becoming increasingly acknowledged not only as being ethically necessary, but also financially advantageous in the long term, a phenomenon which is the driving force behind this transition. Companies that apply ESG principles are better equipped to mitigate risks, capitalize on new opportunities, and align with the evolving values of investors and consumers. Additionally, governments and international organizations are setting increasingly ambitious climate change targets, which are further bolstering the ESG agenda. To meet the demands of a sustainable, low-carbon future, these commitments necessitate the creation of innovative solutions. This is where fintech enters the picture, offering a diverse array of platforms and tools that can expedite and enhance the achievement of ESG objectives.

The results of recent research indicate that fintech organizations must transition to greentech enterprises, a novel paradigm. This transformation will assist the cryptocurrency and fintech sectors in reducing their ecological footprint and promoting a carbon-neutral environment for financial institutions. Greentech, or digital financial technology that enables decarbonization, aims to make the financial sector more environmentally benign and sustainable by reducing emissions and carbon footprints through investments in renewable resources and clean energy initiatives. The fervent petitioning of climate activists for a climate-conscious lifestyle that incorporates sustainable practices is resulting in the significant growth of and attention toward green technology. In recent years, this has led to the development and integration of climate-oriented products and services by numerous fintech companies [64,65].

6. Conclusions

Green fintech strives to safeguard the environment. Central bank digital currencies, blockchain technology, and cryptocurrencies are the primary components of fintech. Cryptocurrencies may be defined as environmentally beneficial. The environmental benevolence of cryptocurrencies is called into question by the substantial energy consumption involved in their mining process. The purpose of this study is to examine the role of green fintech companies in the sustainable transition of the cryptocurrency market, as these companies integrate the creation and utilization of cryptocurrencies.

Recently conducted research suggests that fintech organizations must transition to greentech enterprises, a novel paradigm. In addition to promoting a carbon-neutral environment for financial institutions, this transformation will also aid the cryptocurrency and fintech sectors in reducing their ecological footprint. Greentech, or digital financial technology that facilitates decarbonization, endeavors to render the financial sector more environmentally friendly and sustainable by decreasing emissions and carbon footprints through investments in renewable energy sources and clean energy initiatives. The substantial growth and attention that green technology is experiencing are a direct consequence of the fervent petitioning of climate activists for a climate-conscious lifestyle that incorporates sustainable practices. As a result, numerous fintech companies have developed and integrated climate-oriented products and services in recent years.

This study broadens the literature that investigates the relationship between sustainability and fintech, a subject that is rarely examined, due to its current nature, in terms of its theoretical implications. In fact, fintech must increasingly transition to a role as an enabler of innovation in collaboration with banks, corporations, and regulators to address the new sustainability issues that have arisen as a result of ongoing crises, including energy, climate, and geopolitical issues. In terms of practical implications, the findings provide significant evidence that it is beneficial to governments, practitioners, researchers, and managers. In particular, the research demonstrates that fintech provides substantial assistance to banks in this process by facilitating the accumulation of structured and unstructured ESG data from a variety of sources. These data are critical for evaluating the environmental and social risks associated with customers.