During the γ phase-δ phase transition, U-50Zr fuel experiences spinodal decomposition, which has a significant effect on fuel properties. However, little is known about the spinodal decomposition of U-50Zr. The spinodal decomposition behavior in U-50Zr is studied in this research using the phase-field approach. The mechanism of spinodal decomposition from a thermodynamic perspective is studied, and the effects of temperature and grain boundary (GB) on spinodal decomposition are analyzed. It is found that the concentration of U atoms in the U-rich phase formed during spinodal decomposition is as high as 90%. The U-rich phase first appears at the GB position, and precipitation phases appear inside the grain later. Ostwald ripening occurs when larger precipitation phases on the GB absorb isolated smaller precipitation phases inside the grain. The coarsening rate of precipitation phases and the time it takes for spinodal decomposition to achieve equilibrium are both influenced by temperature.