Abstract: As a keystone species in estuarine zones, Nereis virens carries ecological and economic value. Its body wall is rich in high-quality animal protein (over 60%), and the products obtained after enzymatic hydrolysis exhibit multiple functions, making it a research hotspot. Enzymatic hydrolysis is the core technology to prepare the corresponding bioactive peptides, and the bioactivity of which can be significantly enhanced by optimal enzyme selection and process optimization. After multi-stage purification and functional validation, the enzymatically hydrolyzed Nereis virens peptides have been proved with multi-target bioactivities, including antioxidant activity, ACE-inhibitory activity, antitumor activity and immunomodulatory activity, etc. This paper systematically reviews the nutritional composition and current state of research status on Nereis virens, particularly focusing on the preparation methods and functional activities of the bioactive peptides. The aim is to provide a theoretical foundation for the sustainable exploitation and multi-domain applications of Nereis virens resources.