I think the root of China's foreign exchange risk lies in not knowing the scale of China's daily foreign exchange circulation. For the central bank, holding foreign exchange is a foreign exchange preparation to meet the needs of regulating foreign exchange surplus and deficit among commercial banks. As for some enterprises or units that engage in economic activities abroad, holding foreign exchange is not within the jurisdiction of the central bank. Therefore, as long as the central bank's foreign exchange reserves can meet the needs of commercial banks to adjust foreign exchange surplus and deficit, they can be regarded as sufficient foreign exchange reserves, and at most a certain proportion can be increased to meet sudden needs. When the central bank's foreign exchange reserves are approved, the approved scale remains unchanged, and the adjustment scale of foreign exchange surplus and deficit among commercial banks is re-approved regularly to maintain the stability of the national currency. After the central bank has fixed the foreign exchange quota by currency, the remaining work is to buy and sell all kinds of foreign exchange in the international financial market as needed, so as to keep the approved scale unchanged and realize that China's economy will not be interfered by foreign economies. When buying too much inter-bank foreign exchange, it can be sold to the international market, or China's economic and trade departments can buy strategic materials and even gold reserves needed by the country according to the overflow of foreign exchange from the central bank. When the central bank's foreign exchange reserves are insufficient, commercial banks can be authorized to buy foreign exchange to make up for the central bank's debts, or borrow foreign exchange from Hong Kong and Macao banks, and the state economic and trade department can organize exports to earn foreign exchange to make up for the debts. In short, as long as the amount of foreign exchange held by the central bank is limited, and the daily foreign exchange transactions will not exceed this limit too much, it will not affect the stability of China's currency.