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Nexus among Crypto Trading, Environmental Degradation, Economic Growth and Energy Usage: Analysis of Top 10 Cryptofriendly Asian Economies

Author

Listed:
  • Rina Astini

    (Universitas Mercu Buana, Indonesia)

  • Kehkashan Ishrat

    (Department of Management Sciences, Karachi Institute of Economics and Technology, Pakistan)

  • Yanto Ramli

    (Universitas Mercu Buana, Indonesia)

  • Tafiprios Tafiprios

    (Universitas Mercu Buana, Indonesia)

  • Kwong Wing Chong

    (Taylor's College Malaysia, Malaysia.)

  • Ooi Chee Keong

    (School of Accounting and Finance, Faculty of Business and Law, Taylor's University, Malaysia.)

Abstract

The higher discharge of carbon emissions in environment is endangering human life as well as eco system. With the emergence of digital technology, crypto trading and blockchain technologies are also causing the paradigm shift in technological needs, however, in parallel, creating unresolved environmental problems especially in the top 10 crypto-friendly Asian economies due to the higher percentage of poisonous emissions. Thereby, the study attempts to scrutinize the nexus among crypto-trading, environmental degradation, economic growth and energy usage. CO2 emissions are taken as a proxy of environmental degradation in the context of crypto friendly Asian economies. The data extracted from WDI and coin market cap covering the period from 2012-2020. The article applied CS-ARDL technique in order to find the association between variables in short and long run. Granger Causality test is also applied to find out the causality among constructs. Findings expose that bi-directional causality exists between crypto trading and carbon emission and crypto trading and energy usage, hence, disturbing environmental sustainability due to high emissions. The paper suggests policy makers and other institutional officers to de-socialize those block chain technologies which consumes high energy and use green technology as their substitute. This helps in the reduction of environmental damages.

Suggested Citation

  • Rina Astini & Kehkashan Ishrat & Yanto Ramli & Tafiprios Tafiprios & Kwong Wing Chong & Ooi Chee Keong, 2023. "Nexus among Crypto Trading, Environmental Degradation, Economic Growth and Energy Usage: Analysis of Top 10 Cryptofriendly Asian Economies," International Journal of Energy Economics and Policy, Econjournals, vol. 13(5), pages 339-347, September.
    • Handle: RePEc:eco:journ2:2023-05-39
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    More about this item

    Keywords

    Crypto-Trading; Environmental Sustainability; Asian Economies; Economic Growth;
    All these keywords.

    JEL classification:

    • Q56 - Agricultural and Natural Resource Economics; Environmental and Ecological Economics - - Environmental Economics - - - Environment and Development; Environment and Trade; Sustainability; Environmental Accounts and Accounting; Environmental Equity; Population Growth
    • R11 - Urban, Rural, Regional, Real Estate, and Transportation Economics - - General Regional Economics - - - Regional Economic Activity: Growth, Development, Environmental Issues, and Changes
    • F18 - International Economics - - Trade - - - Trade and Environment
    • O13 - Economic Development, Innovation, Technological Change, and Growth - - Economic Development - - - Agriculture; Natural Resources; Environment; Other Primary Products
    • P18 - Political Economy and Comparative Economic Systems - - Capitalist Economies - - - Energy; Environment
    • P28 - Political Economy and Comparative Economic Systems - - Socialist and Transition Economies - - - Natural Resources; Environment
    • P48 - Political Economy and Comparative Economic Systems - - Other Economic Systems - - - Legal Institutions; Property Rights; Natural Resources; Energy; Environment; Regional Studies

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