Core Insights - The article discusses the evolving landscape of gold trading in the Shui Bei area, highlighting the shift towards more complex and hidden trading practices despite warnings from local authorities [1][2] - New trading platforms are emerging that allow users to trade large amounts of gold with minimal initial investment, leading to extremely high leverage ratios [1] Group 1: Trading Practices - The "pre-set price trading" model has been replaced by a "pricing settlement" model, where users can settle profits and losses based on real-time gold prices without physical delivery [1] - Some platforms claim that users can trade gold worth approximately 1 million yuan with just a 10,000 yuan margin, resulting in leverage ratios close to 100 times [1] Group 2: Market Participants - The market is witnessing a shift in participants, with many new players lacking experience in gold trading entering the scene, primarily engaging in online electronic trading [2] - Previously, the market was dominated by local gold traders who were knowledgeable about the industry, but now there is an influx of inexperienced teams that do not deal with physical gold delivery [2]

Core Viewpoint - The "pre-pricing trading" platforms in the Shui Bei gold market have increased their entry barriers, requiring users to submit personal identification and undergo manual verification, which can take a day. Despite warnings about potential illegality, these trading practices continue to evolve and proliferate in more concealed forms [2][19]. Group 1: Changes in Trading Practices - The platforms have shifted from promoting "pre-pricing" to "pricing settlement" models, allowing users to settle profits and losses based on real-time gold prices without physical delivery of gold. Some platforms claim that a deposit of 10,000 yuan can control gold worth about 1 million yuan, with leverage ratios approaching 100 times [2][19]. - The market participants have changed significantly, with many new players lacking experience in gold trading entering the market, primarily engaging in online electronic trading without physical delivery [2][19]. Group 2: Increased Complexity and Risks - The process for participating in these trading platforms has become more complex, requiring users to provide identification and undergo risk assessments before trading. Some smaller platforms have moved away from high-exposure entry points like mini-programs to self-built apps [20][21]. - The funding flow has become more opaque, with users needing to contact customer service for specific bank accounts to transfer funds, and deposits are not immediately reflected in their accounts [21][4]. Group 3: Tax and Regulatory Implications - To avoid tax costs associated with physical delivery, some platforms are upgrading their business models to "pricing settlement," where users can settle based on price changes without taking physical delivery of gold [23][24]. - The tax implications are significant, as transactions that do not involve physical delivery typically do not incur value-added tax, but may still be subject to personal income tax on profits [25][26]. Group 4: Operational Risks and Compliance Issues - Many platforms claim to use overseas API hedging mechanisms to reduce trading costs, allowing for significantly lower entry barriers compared to compliant markets. However, the authenticity of these hedging practices is questionable, raising compliance risks [28][30]. - The operational model of these platforms often involves separating client deposits through domestic private accounts while claiming to hedge risks in overseas markets, leading to potential issues with fund security and regulatory compliance [30][31]. Group 5: Market Dynamics and Regulatory Challenges - The influx of inexperienced participants into the pre-pricing trading sector has been rapid, driven by rising gold prices and the popularity of mobile trading. Many of these new operators lack a background in physical gold trading [32][33]. - Regulatory challenges persist, as these trading activities often fall into a gray area, complicating enforcement and necessitating a collaborative approach among various regulatory bodies to effectively manage and oversee these operations [34][35].

Core Viewpoint - The article discusses the evolving landscape of gold trading in the Shui Bei area, highlighting the shift from simple registration processes to more complex requirements, including identity verification and manual audits, which have raised concerns about the legality and risks associated with "pre-priced trading" platforms [3][5][6]. Group 1: Changes in Trading Platforms - The entry barriers for participating in gold trading platforms have increased significantly, now requiring users to submit personal identification and undergo manual verification, which can take up to a day [3][5]. - Some platforms have transitioned from "pre-priced" trading to "pricing settlement" models, allowing users to settle profits and losses based on real-time gold prices without physical delivery [3][8]. - The leverage offered by some platforms is extremely high, with claims that a deposit of 10,000 yuan can control gold worth approximately 1 million yuan, resulting in leverage ratios close to 100 times [3][10]. Group 2: Market Participants and Risks - The participant demographics in gold trading have shifted, with many new entrants lacking experience in gold trading, primarily engaging in online electronic trading without physical delivery [3][18]. - The complexity of the trading process has increased, with some platforms requiring users to contact customer service for fund transfers, which adds to the opacity of fund flows [5][6]. - There are significant risks associated with the current trading practices, including potential tax evasion and the use of private accounts for transactions, which complicates regulatory oversight [11][15]. Group 3: Regulatory and Operational Challenges - The article emphasizes the need for clearer legal definitions and regulatory frameworks to address the risks associated with these trading practices, as current regulations lag behind the rapid evolution of the market [20]. - The operational model of many platforms involves separating client funds and trading activities, which raises concerns about the authenticity of risk hedging and the potential for significant financial losses for investors [15][19]. - The low operational costs of setting up these trading platforms have led to a proliferation of new players, many of whom are not traditional gold industry participants, further complicating the regulatory landscape [19][20].

Core Viewpoint - The "pre-priced trading" platforms in the Shui Bei gold market have increased their entry barriers, requiring users to submit personal identification and undergo manual verification, which can take a day. Despite warnings from the Shenzhen Gold Jewelry Association about potential illegality, these trading practices have continued to evolve and proliferate in more complex forms [1][2]. Group 1: Changes in Trading Mechanisms - The platforms have shifted from a "pre-priced" model to a "pricing settlement" model, allowing users to settle profits and losses based on real-time gold prices without physical delivery of gold. Some platforms claim that a deposit of 10,000 yuan can control gold worth about 1 million yuan, resulting in leverage ratios close to 100 times [1][4]. - Many platforms now require users to undergo a more complex registration process, including identity verification and risk assessment, which can take up to a day to complete [1][2]. Group 2: Market Participants and Risks - The market has seen a shift in participants, with many new players lacking experience in gold trading entering the space. These new entrants primarily engage in online trading without physical delivery, leading to accumulating risks [1][11]. - The use of private accounts for fund transfers raises concerns about tax evasion and the legitimacy of transactions, as many operations are conducted under the guise of individual accounts while being run by companies [6][12]. Group 3: Regulatory and Compliance Issues - The platforms are increasingly adopting a model that avoids physical delivery to circumvent tax costs, which could lead to regulatory scrutiny. The lack of transparency in the operations and the potential for non-compliance with tax regulations pose significant risks [4][9]. - There is a notable absence of effective regulatory oversight, with current measures being reactive rather than proactive. This creates challenges in managing the risks associated with these trading platforms [13][14]. Group 4: Technological and Operational Dynamics - Smaller trading platforms are moving away from high-exposure entry points like mini-programs to self-built apps, enhancing the obscurity of fund flows. Users often need to contact customer service to obtain specific bank account details for transfers, complicating the process [2][3]. - The operational costs for setting up these trading platforms are relatively low, allowing even small businesses to engage in large-scale trading activities, which raises concerns about the sustainability and legality of such operations [13].