Radix Glycyrrhizae is a commonly used herbal drug for traditional Chinese medicine in China, and it is also an important material for drug, food, chemical industry, and dye industry. Furthermore, in Northwest China, Radix Glycyrrhizae acts as a key plant for preventing desertification, which currently is the most serious environmental problem in China. This report concentrated on discussing the great potential value of Glycyrrhiza on ecosystem, introducing the principles of protection and sustainable utilization of Glycyrrhiza resource, offering the suitable methods of utilization, and suggesting how to carry out the research on the substitute drugs. To protect the ecosystem and herbal resource of Radix Glycyrrhizae, we should use this herb in a more reasonable way.