On the peak of Mount Lao, the view of the sea is excellent. There is a huge rock as big as a stadium. On the rock, there are several pits which are shaped like peaches and vary in size. The water in them is clear and reaches up to one's waist at its deepest point. It never dries up even in severe droughts. There are cattails, fish, frogs and so on growing inside. It was called the Jade Pool in ancient times.

The two characters "Jade Pool" are engraved there. Each character is 7.3 meters high and 6.2 meters wide, with the strokes about 1.5 meters wide and nearly 0.5 meters deep. The two characters cover an area of nearly 90 square meters in total. It was completed in October 1980 and was inscribed by Du Zongfu from Qingdao City.