Chinese online literature was very popular and had become an important part of the Chinese cultural industry. In the past few decades, the development of Chinese online literature has experienced rapid changes and growth, and now it has become one of the important forces in the Chinese literature market. The development of online literature in China could be traced back to the late 1990s, when the Internet began to spread and online literature came into being. As time passed, Chinese online literature gradually developed and became a huge literature. Now, Chinese online literature has formed a huge market that includes a variety of literary types and topics, covering a large number of readers. The development of online literature in China was strongly supported and encouraged by the government and all walks of life. The Chinese government had incorporated online literature into the national cultural development plan and provided a lot of funding and policy support to promote the development of online literature. At the same time, the community also attached great importance to and supported online literature. Many enterprises and institutions have established cooperative relations with online literature, promoting the development of the commerce and industry of online literature. The popularity of Chinese online literature could be verified through various channels, including the large number of readers on literary websites and literary social platforms, the award and selection of literary awards, the investment and development of the literary industry, and so on. It could be said that Chinese online literature had become an important part of the Chinese cultural industry and had a wide impact on the global scale.