When we consider that most Flammulina velutipes are foreign varieties, and the international disputes of genetic resources increase, the development and distribution of domestic varieties are very important. Flammulina velutipes, which belongs to the Basidiomycot, have abundant vitamins, and is one of popular mushrooms. 6 varieties of Flammulina velutipes were collected, the selection of desirable isolates and characterization were conducted after monosporous isolation and breeding. After isolation of 1,200 monospores from 6 varieties, the final 10 monospores from each isolate were selected, and 250 isolates were obtained in 15 breeding combinations. Through an investigation of fruiting body, 29 lines were selected at first, then 6 lines at secondary step, and the last 3 lines. The biological characteristics was that mycelia growth was 0.6~2.0cm below 15 ℃, and 2.3~3.8cm at 20~25℃ showing the best result, on the other hand, 1.1~2.4cm at 30℃. There were no differences in pH, but the mycelia density of E-2-8 line seemed to be lower. Mycelia growth and density in some kinds of media such as MCM and MEM were most favorable, but worst in Wa medium. In D-1-10 and C-3-5 of selection lines, yield of fruiting body per bottle(850cc) was 120∼125g, number of effective stem was 299, and stipe length was 93∼95mm showing the best growth.