The Shinma are not caught between two worlds: the mortal and the Dreaming, as are the Kithain. When they drop their human illusion (their Hotei) and become visible as their fae selves, they are wholly magical beings. As Wani the Hsien can more easily use Wu Tan. The draw back is that when their true from is manifested, or their magics are used, anyone can see them. Ergo, it is a very serious matter to do either in plain site and it is usually only done when circumstances are most dire. Most Hsien have learned the value of Pakua as it helps them avoid drawing attention to themselves.
As Wani, the shinma have a number of special powers according to their kwannon-jin. Most wani forms are awe-inspiring if not outright terrifying.
It costs one Yugen to shift to Wani form, as does shifting back to human shape.