After a night riot in Silver Lotus is reported to the palace, low-ranking courtesans angrily accuse a newcomer of courting the emperor and even set a fire to attract attention. Yanxing Shen appears and performs a sword dance for the ailing emperor; his condition visibly improves. Despite sneers—'an official courtesan,' 'how dare you seduce the emperor'—the emperor rewards her the Sword of Prosperity. The empress, staying by his side, orders Liu to promote Yanxing as a palace lady. The promotion shifts Yanxing's standing and leaves palace factions unsettled.