The rapid growth of sustainable finance in recent years has fuelled interest in green investment, ranging from green bonds and Environmental, Social, and Governance (ESG) funds to energy-efficient cryptocurrencies. While these assets are often grouped under the broader umbrella of green finance, their interaction during periods of market stress remains largely unexplored.

Investors usually prefer ESG funds and green bonds on the assumption that they provide both ethical and financial security. Green cryptocurrencies, which rely on energy-efficient consensus mechanisms such as Proof-of-Stake and related protocols, have emerged as alternatives to traditional cryptocurrencies, which are known for their high energy consumption….