Stem cells are a class of multipotential cells with self-replicating ability, which can differentiate into a variety of functional cells under certain conditions, and therefore stem cells can be used to treat various cell-damaging diseases. With the increasing incidence of diabetes, stem cell therapy for diabetes is one of the hot research topics in recent years, and initial results have been achieved. It has been shown that: hematopoietic stem cells cultured in vitro can be induced to differentiate into insulin-secreting cells; in the islet microenvironment, stem cells have the role of promoting blood vessel formation and participating in the regeneration of islet B cells. Stem cell transplantation includes: directed induction of pancreatic stem cells, embryonic stem cells, bone marrow stem cells, etc. At present, only bone marrow stem cell transplantation and umbilical cord blood stem cell transplantation are ethically accepted and are designated as Class 3 medical technology by the state and can be clinically applied after approval. Through different methods, stem cells can be used to treat both diabetic foot as well as type 1 and type 2 diabetes. Especially, the former has been widely used and the number of cases of treating diabetes has been increasing year by year. About 60% of patients can stop or use less hypoglycemic drugs after treatment, but the long-term efficacy remains to be observed by further follow-up.