Liberation (Moksha) is to be free from afflictions or psychological distress, which is the core competence that people should have. With the ability of liberation, one would eliminate afflictions, solve psychological distress, and obtain spiritual freedom and a happy and beautiful life. Because of this, liberation has been valued by many thinkers. Hui-neng, the real founder of Chan (Zen) , made Buddhism Chinese and put forward the theory of mental liberation (Moksha) with Chinese characteristics, which has the basic characteristics such as highlighting the subjectivity, emphasizing the centrality and noumenon of Xin, realistic liberation, the unity of dispelling evils and strengthening goods, etc., which means to cast out afflictions is the concept of “three noes”. According to Hui-neng’s theory of mental liberation, to prevent and solve psychological problems, improve mental outlook, and meet the needs of yearning for a better life, people should do the following: having a normal mind; accepting themselves pleasurably and liberating by themselves; selflessness (anatman) , no-desire, Wuzhi (ignorance) ; both of affliction and Bodhi being discarded, etc. From this reason, Hui-neng’s theory of liberation is rich in life wisdom, and has positive enlightenment significance for people to live a good real life.