The work aims to introduce the formation principle and characteristics of cellulose nanocrystal (CNC) chiral nematic liquid crystal, as well as the control methods of the structure, including the control of pitch and refractive index, and finally summarize the application of cellulose nanocrystal and its derivatives in color anti-counterfeiting. The formation mechanism and methods of CNC chiral nematic liquid crystal were summarized, such as sulfuric acid hydrolysis combined with evaporation induced self loading method and the preparation method of CNC as chiral template mixed with other solutions. Finally, the research status of CNC chiral nematic liquid crystals in color anti-counterfeiting at home and abroad was summarized, and the future development trend of cellulose nanocrystals in color anti-counterfeiting was briefly discussed. Cellulose nanocrystals are characterized by environmental protection, rich sources and simple synthesis process. They can form chiral nematic liquid crystal structure under certain conditions, have unique optical properties and show structural color, and can be used in color anti-counterfeiting.