Abstract: The study was carried out to investigate the breeding habits and the changes of morphological character during the embryonic development of Picasso clownfish. The fish was cultured to mature and spawn in artificial condition. The results showed that the process of embryonic development includes zygote stage, cleavage stage, blastula stage, blastoderm stage, gastrula, neurula stage, organogenesis stage and hatching stage. About 300~600 eggs were produced each time and the fertilized eggs were attached to the earthen pot. The color of the embryo is orangeyellow and the adhesive fertilized eggs, which were ellipsoidal，were 2.2±0.1 mm long and 0.92±0.10mm in diameter. It took about 217 h to complete the whole incubation period at 26±1℃.