Abstract: Color Shift Films (CSFs) is a multilayer structure having the intrinsic property of color shift effect, i.e., various color with varing angle of observer. CSFs can be used for anti-counterfeiting because the color shift effect cannot be reproduced by the color copiers and color printers. In this paper,the design of metal-dielectric CSFs is intruduced, the disadvantage of present technology of producing CSFs and relevant products is discussed, and a new technique, named as nano-composite technique (NCT) is proposed. The structure, mechanical and optical properties of NCT prepared by NCT are investigated.