Adenosine-to-inosine (A-to-I) RNA editing, catalyzed by ADAR enzymes, is a prevalent and conserved RNA modification. While A-to-I RNA editing is essential in mammals, in Caenorhabditis elegans, it is not, making them invaluable for RNA editing research. ADR-2 is the sole A-to-I editing enzyme in C. elegans. Although ADAR localization is well-studied in humans, it is not well-established in C. elegans. In this study, we examine the cellular and tissue-specific localization of ADR-2. We show that while ADR-2 is present in most cells in the embryo, at later stages, the expression is both tissue- and cell-type-specific. Additionally, ADR-2 is present mainly in the nucleus, adjacent to the chromosomes, at all cell cycle stages. We showed that endogenous ADR-2 nuclear localization depends on ADBP-1 and not ADR-1, a prominent RNA editing regulator in C. elegans. In adbp-1 mutant worms, the mislocalization of ADR-2 leads to decreased editing levels as well as de-novo editing, mostly in exons, suggesting that ADR-2 is also functional in the cytoplasm. Besides, ADBP-1 absence affects gene expression. Furthermore, our analysis showed that ADR-2 targets adenosines with different surrounding nucleotides in exons and introns. Our findings indicate that ADR-2 cellular localization is highly regulated and affects its functions.