Synergistic impact of the green economy and financial technologies on environmental sustainability in the United States

This study investigates the interaction between the green economy, financial technologies (FinTech), and governance in promoting environmental sustainability in the United States from 1990 to 2024. Using Descriptive Statistics, Co-integration analysis, Error Correction Models, and Quantile Vector Autoregression (QVAR), complemented by heatmap visualizations, we examine both long-term relationships and short-term dynamics. Environmental sustainability is assessed through the Environmental Performance Index and greenhouse gas emissions. Results show that renewable energy, forest area, and green-adjusted GDP significantly reduce emissions, while FinTech tools such as digital payments and peer-to-peer lending enhance green financing and resource allocation. However, digital currencies exhibit mixed effects due to their energy intensity. Governance quality emerges as a stabilizing factor, ensuring coherence and resilience. Policy recommendations include strengthening institutions, incentivizing green investments, and regulating energy-intensive innovations.