Woofun AI data shows that Korea's margin loan balance peaked at 38.63 trillion won on June 24, while total investor debt surpassed 60 trillion won in May. This surge occurred alongside a KOSPI rally exceeding 100% in six months, followed by sharp corrections.

Regulators have suspended new single-stock leveraged ETFs, approved only two months prior. Strategists note these products amplify losses rapidly in volatile markets, a risk highlighted by retail traders facing margin calls after initial gains evaporated.