Background: Emerging evidences have indicated that microRNAs (miRNAs) play a significant role in multiple biological processes, including the control of the cell cycle, apoptosis, autophagy and metabolic reprogramming. Among them, miRNA-518a-3p has been revealed to display a notably key function during the development of many types of cancer, containing colorectal cancer, breast cancer and squamous cell carcinoma. However, its functions and the molecular mechanisms during HCC progression still remain unclear. Methods: miRNA-518a-3p expression level was detected by RT-qPCR in HCC tumor tissues and four HCC cell lines, and its related prognostic effects were also investigated. Furthermore, its functions during HCC progression were investigated by CCK-8 experiment, transwell assay in two HCC cell lines. Moreover, its potential mechanisms were investigated by bioinformatic analysis, RT-qPCR, western blotting, luciferase reporter assay and rescue experiments. Results: Downregulation of miRNA-518a-3p was found in HCC tumor tissues and correlated with a more awful overall survival. Gain and loss of function analyses displayed miRNA-518a-3p repressed HCC cells proliferation, migration and invasion. Then, bioinformatic analysis and luciferase reporter assay have suggested that ZNF281, upregulated in HCC tumor tissues, was negatively regulated by miRNA-518a-3p. Moreover, rescue experiments demonstrated that the suppression of HCC progression by miRNA-518a-3p was mediated by ZNF281.Conclusion: Our studies indicated that miRNA-518a-3p inhibited hepatocarcinogenesis through suppression of ZNF281 expression, indicating that miRNA-518a-3p is a promising therapeutic approach targeting for the treatment of HCC.