Pathologist Virchow has proposed a hypothesis that the origin of tumors comes from chronic inflammation. Clinically, liver tumors can be divided into three types Hepatocellular carcinoma (HCC) is the most common type, which is closely related to various kinds of inflammation. Studies have shown that protein tyrosine phosphatase receptor type O (PTPRO) is a new type of protein tyrosine phosphatase, which is negatively correlated with tumorigenesis. As a new tumor suppressor protein, PTPRO is of great significance for the diagnosis and treatment of HCC in the future. This paper aims to discuss the mechanism of PTPRO in HCC.