In this work a 1-(2-hydroxyethyl)-3-methylimidazolium nitrate ionic liquid, [HO(CH2)2mim]NO3, has been synthesized in order to serve as a new thermochromic material upon addition of cobalt(II) ions. Spectrophotometric measurements of a series of cobalt(II) nitrate and cobalt(II) chloride solutions in [HO(CH2)2mim]NO3 at 298.15, 308.15, 318.15, 328.15, and 338.15 K, were performed. Based on the recorded spectra, the overall stability constants and thermodynamic parameters for the cobalt(II) associations with chloride and nitrate ions were calculated. The thermodynamic calculations suggest that thermochromism is not observed in the ionic medium due to a small entropy change during the replacement of nitrate with chloride ions in the co-ordination sphere of cobalt(II). The absence of the molecular solvent was also the reason for the lack of thermochromism. Thus, cobalt(II) solutions in [HO(CH2)2mim]NO3 and water mixtures were studied as a new and green medium that can be used for the auto-regulation of the light intensity and shade protection. The investigated system with water upon addition of cobalt(II) was found to be a far more efficient and responsive thermochromic medium for all of the studied systems up until now. The structure of [HO(CH2)2mim]NO3 was confirmed by both (1)H NMR and IR spectroscopy. Also, the efficiency of different advanced oxidation processes (UV-induced photolysis, UV/H2O2 photolysis, heterogeneous photocatalysis using TiO2 Degussa P25 and TiO2 with 7.24%, w/w Fe catalysts) for [HO(CH2)2mim]NO3 degradation were investigated. The reaction intermediates formed during the photo-oxidation process were identified using LC-ESI-MS/MS and (1)H NMR techniques.