South Korean lawmaker demands delisting of Samsung Electronics and SK Hynix leveraged ETFs, KOSPI criticized as 'turning into a casino'

CoinFeed July 6 news, according to Jinshi Data reports, the regulatory controversy surrounding single-stock leveraged ETFs in South Korea has escalated, People Power Party lawmaker Ahn Cheol-soo demanded measures including delisting for leveraged ETFs tracking Samsung Electronics and SK Hynix, saying KOSPI has 'degenerated into a casino.' Currently, approximately 212 trillion Korean won have flowed into related products, with the two companies accounting for about 60% of KOSPI's market capitalization. The leverage mechanism is accused of amplifying index volatility, and South Korea's stock market has triggered 'sidecar' and circuit breakers multiple times this year. The Bank of Korea and financial regulators indicated that such products may increase market concentration and exacerbate retail investor losses, and the National Assembly is reviewing plans to tighten regulations and even delist them.