appConfigEntityId

bodyType

customContents

entityId

entityUuid

isVideo

articlePageQuery

article

articleSchemaContent

content

hooksArticlePageAdvertisementConfigArticle

hooksArticlePageFloatingButtonConfigArticle

appConfig

filter

json

liveArticle

Zhu Wenqian

A 32-year-old investor in central Hunan never expected a routine phone call about stock tips would leave him nursing heavy losses.
In a post on RedNote, he said a caller claiming ties to private equity firms offered daily stock recommendations, urging him to buy within fixed quotas in exchange for sharing half the profits.
“It was sketchy – I’m now trapped in the market and down almost 20 per cent,” he said on Thursday.
His experience reflects a broader surge in scams targeting retail investors, as fraudsters pose as market experts to sell tips and services.
Chinese authorities have shut down around 10 social media accounts for illegally recommending individual stocks, luring users into paid chat groups and selling misleading stock-picking software, the Cyberspace Administration of China said in a statement on Thursday
The accounts operated across platforms including Weibo and RedNote, as well as video sites such as Bilibili and Kuaishou.
By posting profit screenshots, trading tips and live position updates, they enticed investors to follow stock picks and engage in herd trading, the regulator said.
Authorities urged investors to remain cautious, strengthen risk awareness and avoid illegal financial activities.
“The government has taken action against illegal stock-recommending accounts, as such practices have crossed legal lines, severely harming investors’ rights, disrupting capital market order and undermining trading fairness,” said Fu Yifu, a special research fellow at Su Merchants Bank.
Fu added that the surge in such scams was closely tied to the stock market’s rebound and a wave of inexperienced investors entering the market.

“They are eager to make profits but lack judgment and hold unrealistic hopes for ‘insider information’ and ‘sure-win strategies’,” he said.
Strong regulatory measures were therefore urgently needed to clean up the market environment, he added.
China’s major A-share indices were broadly steady on Friday after a strong rally in the previous session, underscoring the renewed market enthusiasm.
The Shenzhen Component Index rose more than 2 per cent to a four-year high, while the tech-heavy ChiNext index jumped over 3 per cent to its highest level in more than a decade. Over the past seven sessions until the close of Thursday trading, ChiNext surged more than 15 per cent.
The influx of new investors has created fertile ground for fraud. In a recent case, Jin Yongrong, an influencer with more than 100,000 followers on Xueqiu, was penalised for market manipulation after engaging in reverse trading.
On January 19, the Zhejiang bureau of the China Securities Regulatory Commission fined Jin more than 83 million yuan (US$12.2 million), including illegal gains, and banned him from the securities market for three years.
Many of the shuttered accounts had funnelled users into paid chat groups, promoting claims of “insider information”, “risk-free profits” and “expert advice” to justify high membership fees.
Others marketed so-called AI-powered stock-picking tools, using exaggerated claims of superior models and accurate forecasts to entice investors during live-streams.


Hong Kong’s property, financial markets face test under cross-border anti-corruption law

Hong Kong regulators freeze US$15.9 million linked to suspected IPO fraud

How South Korea’s tech rout hit Hong Kong – and why regulators stepped in

China intensifies cross-border tax scrutiny as Beijing warns against offshore dodging

Financial crime

From hot tips to cold reality: China targets online stock scams hitting retail investors

Chinese authorities have shut down around 10 social media accounts for illegally recommending individual stocks. Photo: Reuters

Analysts say the resurgence of such scams is closely tied to the stock market’s rebound and a wave of inexperienced investors entering the market. Photo: EPA

China tightens trading scrutiny on major shareholders and executives

A huge screen displays the latest stock exchange and economic data in Shanghai. Photo: EPA

The China Securities Regulatory Commission’s office in Beijing. Photo: Simon Song

China’s tightened listing rules for some ‘red chips’ in Hong Kong raise concerns

The CSRC is tightening listing rules for some firms seeking listings in Hong Kong. Photo: Jelly Tse

The number of companies seeking to list in Hong Kong stood at over 530 in February. Photo: Reuters

China’s securities regulator vows tougher oversight to shore up stock-market confidence

Wu Qing, chairman of the China Securities Regulatory Commission, speaks at a press conference during the Fourth Session of the National People’s Congress in Beijing on March 6, 2026. Photo: EPA

A view of the China Securities Regulatory Commission office in Beijing. Photo: Simon Song

China’s securities regulator clamps down on speculation to prevent sharp market swings

Regulators are moving to cool pockets of overheating in the A-share market following a strong start to 2026. Photo: AFP

AI-related stocks and other emerging technology themes have led the surge in mainland China equities. Photo: Reuters

Business

Crackdown targets social media accounts offering bogus stock tips, paid groups and AI-driven tools amid surge in retail scams


Crackdown targets social media accounts offering bogus stock tips, paid groups and AI-driven tools amid surge in retail scams.


From hot tips to cold reality: China targets online stock scams hitting retail investors

.css-1c6uqr6{color:inherit;font-weight:inherit;font-size:inherit;font-family:inherit;line-height:inherit;overflow-wrap:break-word;}Crackdown targets social media accounts offering bogus stock tips, paid groups and AI-driven tools amid surge in retail scams

Crackdown targets social media accounts offering bogus stock tips, paid groups and AI-driven tools amid surge in retail scams