More than twenty recensions have been discovered for the Liuzu tanjing 六祖壇經 (Platform Sūtra). If we were to divide them into groups, we could divide three groups evolving around three editions—the Dunhuang, the Song and the Yuan edition. The number of manuscripts for each edition increases according to the chronology of the three editions. By investigating this multi-layered textual history and their textual sources, we could shed light on several issues. First, by comparing the ‘self-revelation verses’ (chengxin ji 呈心偈) in the Liuzu tanjing with those in Dunhuang manuscripts and other relevant materials, we could put into question the historical veracity of the encounter between Huineng 惠能 (638–713) and Shenxiu 神秀 (606–706). By doing so, we could come to see it as a folk narrative with its tendency to dramatize historical events. In addition, by comparing the Liuzu tanjing with the lineage record (chuandeng lu 傳燈錄), we could discern the particularities of the Liuzu tanjing in terms of its genre. That is, the Liuzu tanjing has multiple functions as a collection of sayings, a lineage record and a hagiography, etc., which makes Liuzu tanjing a clearly distinct genre in regard to a traditional sūtra. By being clear about this, we could better understand and utilize the information in the Liuzu tanjing. Moreover, by analyzing the time and the way by which the Liuzu tanjing was canonized, and its circulation in history, as well as how it was utilized by the saṃgha, we could see that before the Ming Dynasty (1368–1644), the Liuzu tanjing was not as influential as the scholars tend to believe; and that its fate was only altered when it was canonized in the Ming Dynasty. The Liuzu tanjing is a case-in-point demonstrating the importance of canonization for the circulation of a text.