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Microfluidic devices appear to offer important opportunities for modern research, especially for the clinical diagnosis, drug delivery and biomedicine research due to their numerous advantages, such as very low reagent consumption and waste generation, fast reaction time, high reaction efficiency and a large surface to volume ratio. Therefore, microfluidic have been paid much more attention by the researchers in recent years. Functionalized magnetic nano-particles can be used for a large number of microfluidic applications and have attracted a great attention during the last few years because of their unique properties of tunable anisotropic interaction. This paper reviews the development of microfluidic chips based on magnetic nano-materials in biomedical applications. The future research directions of microfluidic as well as their applications were also discussed.