The main differences between the CNH and CNY are the regulations and restrictions imposed upon them and their use. Transactions in CNY are restricted to onshore use while CNH isn’t. While the local value of CNY is dictated by the People’s Bank of China, CNH is freely tradeable like most other currencies. This can lead to the value of the currencies diverging and on any day of the week an offshore yuan (CNH) being valued by the markets as worth more or less than one available on the Chinese mainland (CNY).