BTC $63,920.61 +0.21%
ETH $1,841.43 -1.08%
BNB $567.80 -0.78%
XRP $1.08 +0.23%
SOL $74.98 -0.31%
TRX $0.3226 -0.09%
DOGE $0.0724 +0.32%
ADA $0.1666 +3.90%
BCH $219.36 -0.93%
LINK $8.26 -0.89%
HYPE $59.69 -1.66%
AAVE $90.04 -1.21%
SUI $0.7393 +0.24%
XLM $0.1855 +0.29%
ZEC $545.60 +3.79%
BTC $63,920.61 +0.21%
ETH $1,841.43 -1.08%
BNB $567.80 -0.78%
XRP $1.08 +0.23%
SOL $74.98 -0.31%
TRX $0.3226 -0.09%
DOGE $0.0724 +0.32%
ADA $0.1666 +3.90%
BCH $219.36 -0.93%
LINK $8.26 -0.89%
HYPE $59.69 -1.66%
AAVE $90.04 -1.21%
SUI $0.7393 +0.24%
XLM $0.1855 +0.29%
ZEC $545.60 +3.79%

fi

All
Article
Flash

The South Korean Financial Commission responds to the controversy over single-stock leveraged ETFs: there is indeed an effect in preventing capital outflow, but it is not the main cause of stock market volatility

The Financial Services Commission of South Korea responded positively to the recent controversies surrounding single-stock leveraged exchange-traded funds (ETFs) when it released supplementary regulatory measures. Byeon Je-ho, the Director of the Capital Markets Bureau of the Financial Services Commission, clearly stated that launching leveraged ETF products targeting single stocks such as Samsung Electronics and SK Hynix in the domestic market has indeed had a significant effect in locking in domestic investment demand and preventing capital outflow to overseas leveraged markets like Hong Kong or the United States.In response to external accusations that single-stock leveraged ETFs are the "main culprit" behind the recent increase in volatility in the South Korean stock market, the Financial Services Commission refuted this claim. Byeon Je-ho pointed out that the recent dramatic market fluctuations cannot be solely explained by leveraged ETFs, with the core reason being the alternating expectations of the global semiconductor industry cycle. Data shows that from May 26 to July 10, the annualized daily return volatility of U.S. SanDisk (131%), Micron (123%), and Japan's Kioxia (118%) was higher than that of South Korea's SK Hynix (113%) and Samsung Electronics (96%). Additionally, some investors' contrarian operations have played a role in stabilizing stock prices to some extent.Regarding the demands from some politicians and market participants to "forcefully delist single-stock leveraged ETFs," the Financial Services Commission clearly rejected this request. The official explanation stated that delisting must meet statutory termination criteria such as a sharp decline in market value or a lack of liquidity providers (LPs), and currently, the market is showing signs of heating up due to excessive demand, which does not meet the delisting conditions. The Financial Services Commission indicated that such calls should be understood as the market's urgent expectation for strengthened compliance and robust regulatory measures.

The National Development and Reform Commission released the "Action Plan for the Cooperative Development of Artificial Intelligence," proposing eight major actions to promote global AI collaboration

The National Development and Reform Commission officially released the "Action Plan for the Cooperative Development of Artificial Intelligence," aimed at building an open, shared, secure, orderly, and collaboratively governed global artificial intelligence ecosystem. The plan clearly outlines eight core actions, comprehensively promoting deep international cooperation in the AI field from multiple dimensions, including data, computing power, algorithms, talent, and governance. At the foundational level of data and computing power, the action plan emphasizes the need to promote cross-border data flow and build a trustworthy cross-border data space, collaboratively constructing a high-quality corpus; at the same time, it promotes the interconnection of intelligent computing facilities, providing inclusive intelligent computing services to developing countries, and creating low-carbon intelligent computing infrastructure driven by green energy.In terms of industrial empowerment and ecological sharing, the plan encourages the co-construction of an international open-source community for artificial intelligence, promoting the sharing of general large models, basic algorithms, and tool components, and supporting countries in conducting localized innovation based on open-source models. By deepening "Artificial Intelligence +" cooperation, it aims to build a cross-national industrial cooperation platform, promoting the deep application and empowerment of AI technology in fields such as science, manufacturing, healthcare, education, agriculture, and governance. In addition, the plan also proposes the establishment of a joint training mechanism for top digital talent, collaboratively formulating occupational standards and skill certification systems, comprehensively enhancing public literacy, and jointly addressing the structural impacts of AI on employment.Regarding industry rules and technical security, the action plan advocates for the co-construction of rules and standards and collaborative governance for security. All parties will strengthen information sharing on cybersecurity threats and emergency response cooperation, researching ways to enhance the explainability, transparency, and safety of artificial intelligence. Finally, the plan emphasizes adherence to the technological ethics principle of "AI for Good," collaboratively constructing an ethical guideline system dedicated to eliminating algorithmic biases in the forms of racism, discrimination, and others. By promoting international governance cooperation in AI research, it aims to contribute public scientific products to the Global South, effectively serving the United Nations' 2030 Sustainable Development Goals.
app_icon
ChainCatcher Building the Web3 world with innovations.