Green Blood is a man-made substance synthesized using the Lineage Factor of Devil Fruit users in order to mimic the fruit's power, with the substance itself as both base medium and blood substitute, infused with said fruit's user's lineage factor as catalyst. It was developed by Vegapunk, and used in his Seraphim project to mimic several Paramecia powers.[3]
However, due to the fact that Green Blood utilizes Devil Fruit powers, the users still have the same weakness to the sea and other substances containing the sea's energy.[4]
While trying to manufacture artificial Devil Fruits, Vegapunk discovered that each Devil Fruit type has a unique way of being copied, with the Paramecia type requiring a sample of the Lineage Factor of a user whose Devil Fruit power one wishes to mimic. That sample is synthesized and used to create the Green Blood.[3]
Vegapunk used this to mimic several Paramecia powers and used them in the Seraphim project, in some cases of which the clone was given the power of a different individual.[5][6]
Interestingly, SAD, another substance used to create artificial Devil Fruit, in this case SMILE, is also colored green in the anime and Digitally Colored Manga.