Virtual Reality (VR) technology has been successfully applied in many fields, such as education, games, etc. In this paper, we design and implement a panoramic stereo video living system. The system based on the eight-eye panoramic annular lens, the 360°binocular video is stitched. Compared with the traditional coding algorithm, H.265 coding algorithm is used to compress the video, which improves the compression rate by more than 50%. Then the video stream is pushed to the cloud for forwarding. The receiving end combines VR helmet to watch panoramic stereo video live, bringing viewers a brand new viewing experience.