South Korea’s finance ministry announced a $404 million (560 billion won) aid package on Monday to support small and medium-sized enterprises (SMEs) impacted by unpaid sales proceeds from e-commerce platforms Wemakeprice and TMON.

While this intervention aims to address immediate liquidity issues that have affected around 60,000 sellers, it also carries risks, including inadequate regulatory oversight, long-term financial instability of the affected companies and erosion of consumer trust in the e-commerce sector.