Abstract: The traditional Chinese medicine Yuanzhi is a commonly used clinical medicine. It has the effects of soothing the nerves and nourishing the mind, communicating with the heart and kidney, and phlegm and swelling removal. However, its raw products have gastrointestinal toxicity in certain extent. The purpose of processing is to reduce toxicity and increase efficiency. This paper reviewed the processing methods of Yuanzhi, the effects of processing on chemical components, toxicity, drug efficacy and the mechanism of processing in toxicity reducing and efficacy enhancing, so as to provide relevant basis for the research on the processing of Yuanzhi in toxicity reducing and efficacy enhancing, and to promote in-depth development and utilization of Yuanzhi processed products.