Sometime in mid-June the lower sprocket cover bolt brought ~3-4mm of threads with it when I removed it to inspect the size/spec of the front sprocket:
https://www.chinariders.net/showpost...32&postcount=3
I finally dug into this. It turns out that the sprocket cover bolts were just too short. Here is the one that brought out the threads with it (lower bolt). I discovered that there was 6-7mm of GOOD threads in the block. A 40mm new 6M bolt fixed it! I mean, it was a relief that I did not have to helicoil or something:
The upper bolt was also undersized. I replaced the original ~25mm bolt with a 30mm bolt. The sprocket cover is reinstalled over a new JTR 270-14T. I also replace the rear sprocket with a 39T sprocket. The bike easily gets past 60mph on the road now.