Fintech advancements for financial resilience: Analysing exchange rates and digital currencies during oil and financial risk

被引:10
作者
Afshan, Sahar [1 ,2 ]
Leong, Ken Yien [3 ]
Najmi, Arsalan [4 ,5 ]
Razi, Ummara [4 ,6 ]
Lelchumanan, Bawani [3 ]
Cheong, Calvin Wing Hoh [3 ]
机构
[1] Sunway Univ, Sunway Business Sch, Dept Econ & Finance, Subang Jaya, Malaysia
[2] Lebanese Amer Univ, Adnan Kassar Sch Business, Beirut, Lebanon
[3] Sunway Univ, Dept Econ & Finance, Bandar Sunway, Malaysia
[4] Sunway Univ, Dept Management, Bandar Sunway, Malaysia
[5] Univ Econ & Human Sci Warsaw, Warsaw, Poland
[6] Ilma Univ, Dept Business Adm, Karachi, Pakistan
关键词
Fintech; Digital currency; Exchange rate; Oil prices volatility; Financial risk; Morlet wavelet;
D O I
10.1016/j.resourpol.2023.104432
中图分类号
X [环境科学、安全科学];
学科分类号
08 ; 0830 ;
摘要
Given the rising technological revolution, the necessity to analyse the intricate interplay among Fintech, digital currencies, and exchange rates gains prominence, driven by the imperative of economic and financial sustainability. This urgency is accentuated by the need to navigate growing economic challenges and heightened financial strength requirements, particularly in the context of escalating oil price volatility, which amplifies financial market risks. In response, the current study examines the dynamic interactions between Fintech, digital currencies, exchange rates, oil price volatility, and financial risk spanning from 2011 to 2023, employing the most appropriate techniques are the Morlet Wavelet and time-frequency decomposition techniques, which enable this comprehensive study to investigate short-term and long-term associations between these variables. The findings of the study on the weekly data suggested that Fintech has a positive coherence with digital currency and exchange rate, which increases its potential to reshape the traditional financial market. Whereas the fintech relationship with oil price volatility and financial risk is negative, implying that fintech innovations and advancements have stabilised the effect of these risks. Digital currency and exchange rates have a phase relationship which affects international trade, cross-border remittances, and overall economic stability. In contrast, the nexus between digital currency and oil price volatility and financial risk is negative. The study also endorsed the mediating role of oil price volatility and financial risk for the interconnection between fintech digital currency and exchange rate. Owing to the rapid pace of fintech and currency restructuring, the current assessment aids in projecting forthcoming trends, prompting the adjustment of regulatory frameworks to align with the evolving market dynamics.
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页数:15
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