The shortage of high-quality protein feed resources has become an important variable affecting food security in China. Grain and oil processing by-products are abundant in China, but the feeding value is low. If these resources are processed through modern biotechnology, such as biofermentation, enzymolysis technology or synthetic biology, their quality and efficiency will be improved and can be used to replace the soybean meal. This paper summarized the production process, feed value and its application in soybean mealreplacement of fermented feed, enzymolysis feed and microbial protein feed, and also introduced the research progress of microbial adsorption, degradation, or enzymes on removing mycotoxins, finally put forward the research prospect of development, industrialization application, standard establishment, and industry supervision for biological fermentation feed. This paper can provide guidance for the application of biotechnology in grain and oil feed resources.