If it's not a bug, then that's an information for you that the Camera is being used by whatever process is going on out there. Maybe if someone chimes in if they have knowledge about the green dot? Is it part of the OS as an app/process or does it have a parallel system independent of apps running?
On iPhone 16+, it uses Secure Exclave, https://9to5mac.com/2024/06/03/m4-ipad-pro-security-feature-...
When I dismiss the camera app, I still see green dot for a bit, then it switches to orange (microphone?) before it disappears completely. The little enclave is cute but *OS 26 has been so full of bugs that can you really say all this is working safely and as intended?
https://security.apple.com/bounty/categories/
That's cool but someone needs to find said bugs and Apple is not exactly open for audit. Given the critical nature of smartphones, I think corps of this magnitude should be subject to oversight and clear and transparent external evaluation of such sensitive systems.