South Korea's People Power Party discusses filing a state compensation claim against the government over losses from Samsung Electronics and SK Hynix leveraged ETFs.

On July 28, according to Etoday, Kim Eun-hye, a member of the People Power Party in South Korea, is exploring the possibility of filing a state compensation lawsuit against the government regarding the losses incurred by investors in single-leveraged ETFs tracking Samsung Electronics and SK Hynix. Na Kyung-won, also a member of the same party, has publicly advocated for a comprehensive investigation into national losses and active consideration of state compensation, proposing to clarify the process of "hasty introduction" by the Blue House and financial authorities through a national audit and special investigation. The controversy stems from the Financial Services Commission's approval on May 27 of single-stock leveraged products that track the daily rise and fall of Samsung Electronics and SK Hynix by 2x. After their launch, funds poured in rapidly, and mechanical rebalancing amplified stock price volatility. As of June 25, the net assets of 14 products reached 16.28 trillion Korean won, with a daily trading volume of 14.48 trillion Korean won. On July 16, financial authorities increased the initial margin from 10 million Korean won to 30 million Korean won in cash and moved forward the measures originally scheduled for August to July 31. The Financial Services Commission argued that the revision followed legal procedures, and a confrontation may unfold at the National Assembly level.