As a biomaterial, cellulose can be converted into a wide range of derivatives with desired properties for a variety of medical, biomedical, and pharmaceutical applications. The oxidation of cellulose yields oxidized cellulose (OC, oxycellulose, 6-carboxycellulose). OC represents an important class of biocompatible and bioresorbable polymers. In vivo bioabsorption of OC occurs via chemical depolymerization and enzymatic hydrolysis. Despite the fact OC is well established as a hemostatic agent and is widely used in a clinical practice, it still attracts a great interest and its new applications, especially pharmaceutical, are investigated. The present review is focused on characterization of OC's physical and chemical properties. Its synthesis and mechanisms involved in its in vivo and in vitro biodegradation are discussed. Medical and biomedical applications of OC are summarized, and especially its hemostatic, enterosorbent, and wound-healing properties are described. In addition to these applications, OC could be used as a pharmaceutical excipient in solid (e.g.