Interoperability of the revolutionary blockchain architectures and Islamic and conventional technology markets: Case of Metaverse, HPB, and Bloknet

Abstract

This study examines how Islamic and conventional technology stock indices interact with blockchain technology assets including Metaverse, High-Performance Blockchain, and Blocknet, throughout different market conditions and horizons. A three-pronged approach is employed, namely the quantile cross-spectral coherency approach, the time-varying parameter vector autoregressions (TVP-VAR), and the Causality in quantiles methodology. The quantile coherency results show that connectivity between new generation blockchains and conventional and Islamic markets varies. It was found that the connectedness of the network of variables rises in the medium run and reaches its peak in the long run as a result of the TVP-VAR approach. It is evident from the results that the application of sharia screening only impacts the relationship between the technology stock index and digital assets significantly, but does not affect the connectedness and causality between the two. Technology managers, policymakers, and blockchain designers are able to gain new insights from these research findings.