Nostoc commune Vaucher, a macroscopic cyanobacterium, has long been appreciated as a healthy food and traditional medicine worldwide. Accumulated evidence has demonstrated that it possesses a wide range of remarkably protective physiological and pharmacological activities, largely based on animal and in vitro studies. In this review, we summarise and update evidence regarding the chemical composition and nutritional characteristics of Nostoc commune Vaucher, and comprehensively discuss the recent studies on the antioxidative, anti-inflammatory, anti-carcinogenic and immune regulation properties of Nostoc commune Vaucher and Nostoc commune Vaucher-derived extracts. The available results demonstrate the potential of it to act as a functional food for the amelioration of human associated diseases. More details from human clinical trials should be a matter of further investigation.