Core Viewpoint - The jade market in Shifosi Town, Nanyang, Henan, which is one of the largest processing and trading hubs for Hetian jade in China, has become a haven for fraudsters, undermining consumer trust and damaging the industry's reputation [1] Group 1: Market Conditions - The jade and crystal consumption has been rising in recent years, driven by emotional value, aesthetic demand, and high investment and collectible value [1] - However, the prevalence of counterfeit products, including low-quality Qinghai and Han jade being sold as genuine Hetian jade, has created a toxic environment where honest businesses struggle to survive [1] Group 2: Fraud and Consumer Trust - The exposure of a full chain of fraud has shattered consumer confidence, with scripted sales tactics making it difficult for consumers to protect themselves [1] - The industry is facing a vicious cycle where bad practices drive out good ones, leading to a polluted market environment [1] Group 3: Regulatory Challenges - Despite previous exposés, such as the 2022 March 15 Gala revealing issues in the jade market, fraudulent businesses continue to re-emerge under new names, indicating weak regulatory enforcement and low penalties for violations [1] - The intertwining of interests within the industry complicates the enforcement of regulations, allowing fraud to persist [1] Group 4: Industry Outlook - The jade industry must move away from its current murky state towards a clearer, more professional environment to restore its reputation and the trust of consumers [1]

Core Insights - The article highlights the prevalence of fraudulent practices in the market for Hetian jade, where unscrupulous merchants exploit consumer ignorance to deceive buyers and disrupt market order [1] Group 1: Market Practices - There exists a counterfeit industry chain in major Hetian jade processing and trading hubs, where low-cost materials such as Qinghai jade and Korean jade are used as bases to mimic high-end Hetian jade [1] - Fraudulent techniques include the use of roller machines for shaping and polishing, as well as chemical agents for dyeing, to create fake Hetian jade [1] Group 2: Certification and Sales - Inferior jade materials containing impurities are treated with a bleaching technique colloquially known as "pulling monkey hair" to disguise them as high-quality jade for sale [1] - Afghan jade, which resembles Hetian jade but is significantly cheaper, is being mixed into Hetian jade sales, with prices in live-streaming sessions marked up by several times [1] - Merchants offer Afghan jade with matching "certificates of authenticity" for just a few yuan, and these certificates can be produced quickly, further facilitating the sale of counterfeit products [1]