Green Finance

Definition ∞ Green finance encompasses financial products and services that support environmentally sound economic activities and projects. This sector includes investments in renewable energy, sustainable agriculture, and initiatives for ecological preservation. It aims to direct capital towards a more sustainable global economy.
Context ∞ The digital asset sector is increasingly aligning with green finance principles, particularly through the adoption of energy-efficient blockchain consensus mechanisms like proof-of-stake. News reports often highlight initiatives promoting carbon neutrality in cryptocurrency mining and the development of blockchain solutions for tracking environmental impact. This movement reflects a growing industry focus on sustainability and responsible resource utilization.