The transformation of organic wastes into useful resources by vermiculture has been a biological technology for ages, and obtained a new development in 1970s. This paper mainly reviewed the methods of vermiculture, the physical and chemical aspects of vermicompost, and the comprehensive utilization of vermicompost, and emphasized the inhibition of vermicompost to soil-borne disease. Although the mechanisms of inhibition have not been fully understood, the application has great potentiality. The disease inhibition is related with the microflora, especially the large number antagonisms enriched in vermicompost.