CryptoMystic
Thu Dec 26 2024
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7 answers
1626
Why did Korea ban short selling?
Korea banned short selling due to several reasons. Primarily, the measure was taken to stabilize the market and prevent significant fluctuations, especially in the face of high interest rates and geopolitical factors that were driving the KOSPI index down. Additionally, the ban was seen as a way to protect retail investors and address concerns over unfair advantages given to international institutional investors. The measure also aimed to crack down on illegal trading activities, specifically naked short selling, and to maintain market order.
