While Lao-tzu in his discussion on tao gave evidence of un-preeedented originality, he did not make any contribution to the study of hsin. After the middle of the Warring States period, Chi-hsia Huang Lao daoism greatly promoted teachings and discussions on hsin and ch'i' thereby enriching ancient China's 'teachings of the inner sage'. Chi-hsia Huang Lao made the metaphysical tao concrete in the form of ching-ch'i, put it in relation to the human hsin and expressed the view that tao (ch'i) resides in the hsin ('the lodging of ching-she'). This article expounds on the teachings of hsin-hsing, hsin-ch'i and hsin-hsing and furthermore explains the teaching of ching-ch'i and the method of concentrating ch'i.