Recently, as an efficient data transmission method, underwater wireless optical communication has become one of the key research topics in the fields of military communication and underwater surveillance. Modulation technology and technology in the transmission process play a key role in the UWOC system, which directly affects the performance, accuracy and safety of the system. The advanced modulation techniques from Intensity Modulation (IM), Pulse Modulation, Quadrature Amplitude Modulation (QAM), and Quadrature Phase Shift Keying (QPSK) to the combination of multiple modulation techniques, as well as the development process of modulation technology in optical encryption, are summarized in this paper. In terms of data transmission technology, the technological progress process from simplex to full-duplex communication is summarized. Finally, a reference solution is proposed to solve the challenges in realizing the underwater communication goals of long-distance, high-speed, low-bit error rate, and large-capacity underwater communication at the same time, and future development is prospected.