Abstract: In terms of the"dual carbon"target, green, pollution-free and high-energy density hydrogen energy has become an important trend for the future development of energy industry. Underground hydrogen storage is a promising technology for large-scale hydrogen storage. This paper describes the concept, field practice and theoretical research status of underground hydrogen storage. A deep analysis is performed on the modes and characteristics of hydrogen storage in the salt cavern, aquifer, depleted oil and gas reservoirs, as well as abandoned coal mine, of which the advantages and disadvantages are compared from multiple perspectives. Underground natural gas storage provides technical experience for hydrogen storage, but there are obvious differences between the both. Further, the paper systematically analyzes the feasibility of underground hydrogen storage, and elaborates the difficulties and challenge in terms of caprock, wellbore integrity and chemical reaction in reservoirs. Based on the above research and analysis, the difficulties in the development of underground hydrogen storage technology are clarified; the future development prospects of underground hydrogen storage have been predicted; the corresponding countermeasures and suggestions are also put forward, such as strengthening the research on the geomechanical integrity of caprock and the integrity of wellbore, and facilitating the assessment of the geochemical and microbial reactions of reservoir rocks, fluids and hydrogen, which provide a significant reference for the underground hydrogen storage in China.