The invention relates to a traditional Chinese medicine for relieving postoperative insomnia of thyroid cancer, which can effectively relieve multiple clinical symptoms, such as insomnia, of post-operation of thyroid cancer, can alleviate pathogenetic condition, improve living quality of patients, and solve the problem that western medicine treatment is high in toxic and side effects and is liableto cause dependency and drug resistance. The traditional Chinese medicine is prepared from, by weight, 10-30 g of angelica sinensis, 20-30 g of white paeony roots, 10-15 g of radix bupleuri, 20-30 gof poria cocos, 15-25 g of atractylodes macrocephala, 10-20 g of cape jasmine, 10-20 g of radix gentianae, 10-20 g of radix curcumae, 10-20 g of rhizoma cyperi, 10-25 g of astragalus membranaceus, 20-30 parts of codonopsis pilosula, 15-30 g of rhizoma chuanxiong, 15-30 g of red peony roots, 20-30 g of cortex moutan, 10-30 g of prunella spike, 15-25 g of vine of multiflower knotweed, 10-20 g of cortex albiziae, 20-30 g of radix ophiopogonis, 10-20 g of coptis chinensis, 10-20 g of cinnamon, 20-30 g of polygala tenuifolia, 20-30 g of spina date seeds, 20-30 g of semen boitae, 20-30 g of longan pulp, 10-30 g of costus root, 15-30 g of schisandra chinensis, 15-30 g of fossil fragments, and 15-30 g of oysters. The medicines are decocted in water and then a decoction is filtered, and a filtrateis concentrated to 200-300 ml. The traditional Chinese medicine has functions of soothing liver to regulate Qi, fortifying spleen and tonifying blood, and nourishing heart to quite spirit, can prolongsleep time and increase sleep depth, improves living quality of patients, is safe to use and reduces adverse reactions in western medicine treatment.