According to Osho, both statements are provisional steps: to begin, say "the Divine is hidden in the world"; deeper, realize "the world itself is the Divine"; ultimately, for the knower, only the Divine is—no separate world remains. These are skillful stages of dialogue guiding perception from ignorance to nonduality, seeing the Eternal shining through all change.
First you think only the world is real; then you feel God hidden in it; then you see the world is God; finally you know only God is.