First of all, we should understand the characteristics of international hot money: international hot money is a kind of speculative capital, which flows frequently internationally (or at least between two financial centers) and is a short-term capital flow. What international hot money pursues is the international currency spread or exchange rate difference. This is its greatest feature and benefit, and its investment model takes high income and low risk as the highest criterion. It is not difficult to see that a large number of international hot money and liquidity will inevitably have a certain impact on the financial order in the short term, and in order to adapt to the law of international interests, a country's central bank and financial institutions will inevitably carry out a series of regulation, which is passive and inevitable.

For example, if a hot money really flows into China, it must flow out of China within 1 year from the date of inflow; Once it flows out, there will be no international hot money in China (such as the increase of foreign exchange reserves or the balance of foreign exchange reserves in that year). This will lead to the chaos of financial order and the depreciation of RMB. The depreciation of RMB will definitely affect the exchange rate. At this time, if the country does not have correct policies to deal with it, it will easily lead to a financial crisis.