Bitcoin vs gold: which one is the most powerful in boosting the shariah equity index? global evidence

Wicaksono, Ahmad Tibrizi Soni ORCID: https://orcid.org/0000-0001-8643-1351, Mufraini, M. Arief, Miranti, Titis ORCID: https://orcid.org/0000-0002-8720-3809 and Muttaqien, Muhammad Khaerul (2023) Bitcoin vs gold: which one is the most powerful in boosting the shariah equity index? global evidence. Studies in Business and Economics, 18 (1). pp. 5-36. ISSN 2344-5416

Preview

Text 14688.pdf - Published Version Available under License Creative Commons Attribution Non-commercial No Derivatives. Download (1MB) | Preview

Abstract

The study explores the most powerful between Bitcoin and Gold in boosting the Shariah Equity Index in Malaysia, the United Arab Emirates, China, Indonesia, The United States of America (USA), Japan, Oman, and Saudi Arabia in the short and long term. The study uses analysis of the first and second stages of the Granger Causality Test and Vector Error Correction Model (VECM), then Impulse Response Function (IRF) and Variance Decomposition (VDC) over the period 2013 to 2021. The finding proves that only Gold can affect the Islamic Equity Index in the short term, then Bitcoin and Gold proved to contribute equally to the Islamic Equity Index in the long term. However, Bitcoin has the potential to provide positively correlated shocks and dominate the value of Islamic equity indices in the long term. The results demonstrate that government intervention is decisive in maintaining the stability of the Shariah Equity Index from future Bitcoin threats. The study's finding has practical implications for Islamic capital market Investors, Managers, and Authorities

Item Type:	Journal Article
Keywords:	Bitcoin; gold; shariah equity index; investment
Subjects:	15 COMMERCE, MANAGEMENT, TOURISM AND SERVICES > 1502 Banking, Finance and Investment > 150202 Financial Econometrics 15 COMMERCE, MANAGEMENT, TOURISM AND SERVICES > 1502 Banking, Finance and Investment > 150203 Financial Institutions (incl. Banking) 15 COMMERCE, MANAGEMENT, TOURISM AND SERVICES > 1502 Banking, Finance and Investment > 150205 Investment and Risk Management 15 COMMERCE, MANAGEMENT, TOURISM AND SERVICES > 1502 Banking, Finance and Investment > 150299 Banking, Finance and Investment not elsewhere classified
Divisions:	Faculty of Economics > Department of Islamic Banking
Depositing User:	Ahmad Tibrizi Soni Wicaksono
Date Deposited:	25 May 2023 11:38

Downloads

Origin of downloads

Actions (login required)

View Item