The difference between offshore RMB and onshore RMB, who is the real "RMB"? Onshore RMB=CNY It refers to the RMB circulating and trading in Chinese Mainland, mainly used in the banking system of Chinese Mainland. It is more directly managed by the People's Bank of China and the State Administration of Foreign Exchange. The onshore exchange rate of RMB to USD has a daily midpoint and is allowed to fluctuate within a certain range. So the exchange rate of CNY is not completely free floating, but has strong policy guidance. For example, the exchange rate of USD against RMB seen by banks in Chinese Mainland is usually the CNY system. Offshore RMB=CNH It refers to the RMB circulated and traded overseas in Chinese Mainland, and its main markets include Hong Kong, Singapore, London, etc. Offshore RMB is not directly traded within the domestic clearing system of Chinese Mainland, and the supervision is relatively more market-oriented. The price is more determined by overseas supply and demand. So the volatility of the Chinese yuan (CNY) is usually greater than that of the Chinese yuan (CNY), and it is also easier to represent the international market's expectations for the trend of the RMB. For example, overseas institutions, offshore banks OTC、 The Chinese yuan used in Hong Kong bank accounts is often CNH. The core difference can be simply understood as CNY being the Chinese yuan within mainland China, with stronger policy management. CNH is the Chinese yuan used outside of mainland China, with a stronger market pricing. If the international community is concerned about the depreciation of the Chinese yuan, the CNH usually fluctuates first and more violently than the CNY. For example, if the USD/CNH may rise first, it means that the offshore RMB will depreciate first, and then the CNY may follow suit. PS: Perhaps two words are the key. We need to understand it ourselves. In general, when you work in China, most of your salary, income, and money in your bank account are in CNY, which is onshore Chinese yuan. This RMB is a real RMB, in the banking system of Chinese Mainland, so it is subject to China's foreign exchange management rules. But if you need to spend money overseas, then CNY is not good. It is important to turn CNY in Chinese Mainland into money that can be used by the overseas financial system. If you purchase foreign exchange through a mainland bank, it means converting CNY into US dollars. If you bypass this restriction and transfer money to Hong Kong, Singapore, or overseas brokerage accounts, entering the overseas banking system, then this RMB will no longer be purely domestic CNY logic, but will enter the offshore market and become CNY or further converted into USD. This is the core of this punishment for the three securities companies. Can users in Chinese Mainland buy overseas assets through the overseas securities company system and bypass the domestic supervision. We can better understand the difference between CNY and CNH. In the system of Chinese Mainland, CNY is regulated by Chinese Mainland. CNH is more influenced by overseas markets and local regulations in its overseas system. It's the same in Chinese yuan, but where the money is, the rules are different. If you want to buy US stocks with the Chinese yuan in your mainland bank card, it's not just that you have money to buy directly. Because this money is still in CNY, the regulatory authorities are concerned about how it will go out, what it will do after it goes out, and whether this money can be returned! The situation is completely different for the Chinese yuan in your accounts in Hong Kong and Singapore, or the funds already in overseas securities firms. Because this money has already entered the offshore system, the regulatory logic has shifted to KYC, AML, securities license, and cross-border compliance of the local financial institution. In general, CNY is the RMB in the financial system of Chinese Mainland, and CNH is the RMB in the overseas financial system. The Chinese yuan is real, but who cares about this money determines what it can do. Bitget is here, VIP! Crypto、 US shares CFD， Global Advantage One Stop Layout