South Korea is considering using semiconductor tax revenue to establish a growth fund.
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South Korea plans to establish a Future Fund using tax revenue from its semiconductor industry.
Odaily Odaily reports that South Korean Presidential Chief of Staff Kang Hoon-sik stated on Sunday that the government plans to establish a Future Response Fund using the additional tax revenue generated by the semiconductor industry boom. The fund will be used to invest in economic growth engines, support the younger generation, and address growing social inequality. The government will utilize the "Future Response Fund" to finance major national investment projects and enhance the country's long-term competitiveness. (Jin Shi)
South Korean President Lee Jae-myung: Launch a "speed war" in three major projects: semiconductors, physical AI, and AI data centers.
According to Mars Finance, South Korean President Lee Jae-myung, speaking at a joint meeting of the public and private sectors on the "three super projects"—semiconductors, physical artificial intelligence (AI), and AI data centers—held at the Blue House on the 6th, stated that the key to these three projects lies in winning the "speed battle." Lee emphasized that competition in cutting-edge industries is crucial to the fate of all nations, and the ultimate winner will be who acts faster. He stated that the government should eliminate any obstacles that companies may encounter during investment and project construction in advance, and must not allow delays in administrative approval procedures to affect investment and project implementation. Lee stated that the Blue House will establish special working groups for the three projects as soon as possible, and the government will provide maximum support. Currently, the semiconductor industry is generating a large amount of unexpected tax revenue, and the government will fully utilize relevant financial resources to provide guarantees for project construction in all aspects, including financial support. (Cailian Press)
South Korea's Ministry of Finance held an emergency meeting, warning of excessive concentration in the semiconductor sector.
According to Odaily Odaily, South Korea's Ministry of Finance announced that Finance Minister Koo Yun-cheol held an emergency meeting with the Governor of the Bank of Korea and heads of financial regulatory agencies to address the recent sharp fluctuations in the South Korean stock market. The South Korean government stated that it will closely monitor various risk factors that could exacerbate market uncertainty and prevent further market volatility. Recently, the South Korean stock market has experienced increased volatility due to factors such as profit-taking by foreign investors and institutions, adjustments in expectations for the AI sector, and portfolio rebalancing. The KOSPI index triggered its sixth circuit breaker this year this week. In a statement, the South Korean government said, "The excessive concentration in the semiconductor industry has become a core factor amplifying financial market volatility, and the transmission effect of fluctuations in the chip sector on the overall market is constantly increasing." (Jinshi)
The South Korean government is considering extending the sovereign AI core GPU guarantee project, with a budget of up to 4 trillion won next year.
According to Odaily Odaily, the South Korean government is considering extending its support project for GPUs, a core resource for AI. On July 7th, industry sources indicated that the Ministry of Science and ICT is investigating the capacity of major South Korean cloud service providers to build additional GPUs, aiming to extend the "AI Computing Resource Utilization Infrastructure Enhancement Project." The core of this project involves government-funded purchases of GPUs, deployment in cloud service provider data centers, and support for industry-academia-research collaboration. Last year, the South Korean government allocated a budget of 1 trillion won, and this year it allocated 2 trillion won, securing over 20,000 GPUs. The project was originally scheduled to end this year, but with the surge in demand for advanced resources such as NVIDIA's next-generation GPU Vera Rubin, the South Korean government is developing comprehensive countermeasures, including data center efficiency optimization and new space security plans. It is reportedly already applying to the Planning and Budget Office for a "limited additional budget" for GPU security. Industry estimates suggest that, considering this year's GPU security budget and the government's intentions, next year's budget could reach a maximum of approximately 4 trillion won. Industry experts say that compared to the GPU supply itself, "equipment installation space" will be the key to the success or failure of the project, because running thousands of high-performance GPUs simultaneously requires a large power supply and advanced cooling systems, and the equipment installation space held by South Korean companies is nearing saturation. (ETNews Electronics)
South Korean semiconductor stocks plummeted, triggering five large-scale liquidations of SKHX shares, including the liquidation of a whale long position worth approximately $2 million.
According to BlockBeats, on July 7th, Hyperinsight monitoring showed that during the sharp drop in South Korean semiconductor stocks today, SK Hynix (SKHX) long positions on Hyperliquid were subject to concentrated liquidation, with addresses starting with 0x4b2 becoming one of the largest liquidation targets in this round. The whale had placed a long position in SKHX around $1,620 on the evening of July 5, totaling 2,000 contracts, amounting to approximately $3.24 million. Between 9:00 AM and 1:00 PM today, a total of 5 SKHX long positions were liquidated, ranging from $1454.1 to $1382.7, totaling 1344.64 contracts, with a notional amount of approximately $1.916 million, resulting in a loss of $271,000. As of press time, the address has added to its position again, holding 1152,758 long SKHX contracts, with a notional size of approximately $1.656 million and a next liquidation threshold of $1388.56. - HyperInsight Bot is now live. Add @HyperInsightBot to the Telegram community and set it as an administrator (message sending permission required) to automatically sync on-chain information.
Concentrated leverage and high retail investor ratio: South Korea's semiconductor market's "amplifier mechanism" attracts attention.
According to Mars Finance, on July 6th, a comparison of US and South Korean tech stocks reveals a clear "leveraged ETF-dominated" structure for South Korean semiconductor leaders like SK Hynix and Samsung Electronics. The total assets of their individual stock ETFs and related products are several times the average daily trading volume of the underlying stocks. In contrast, US tech stocks like Micron Technology, Tesla, and Nvidia are primarily traded on the spot market, with ETF assets far below their average daily trading volume. Data (as of June 29, 2026) shows that SK Hynix's individual stock ETF and related products have total assets of $19.04 billion, while its average daily trading volume is only $4.47 billion; for Samsung Electronics, the corresponding figures are $12.43 billion and $4.49 billion respectively. In contrast, Micron Technology ETF has a size of $9.88 billion and an average daily turnover of $27.47 billion; Tesla's is $5.95 billion compared to $23.56 billion; and Nvidia's is $5.57 billion compared to $28.75 billion—the US stock market exhibits a structure opposite to that of the Korean stock market. Due to the lack of individual stock options in the Korean market and the high proportion of retail investors, leveraged funds are highly concentrated in ETF products, leading to stock prices being more driven by passive portfolio adjustments. Once the market falls, ETFs are forced to sell, but the market's absorption capacity is insufficient, easily amplifying price fluctuations and forming a unique "amplifier mechanism" in the Korean semiconductor market.