The present invention provides a multifunctional LED device and multifunctional speaker system. The multifunctional LED device includes a power supply unit; a control unit configured to process audio signals and control commands; an audio power amplifier configured to drive a speaker; a speaker; a first wireless transceiver configured to communicate with a smart terminal; a second wireless transceiver configured to communicate with other LED devices; and an LED light source. The multifunctional speaker system includes several multifunctional wireless LED devices configured to works as wireless speakers, and a smart terminal to control the system remotely. The smart terminal may communicate with and control all the multifunctional LED devices. The multifunctional LED devices may communicate with each other. Two multifunctional LED devices may be configured as a 2.0-channel speaker system. Other speaker systems, such as 2.1-channel, 5.1-channel speaker systems, may be realized using more multifunctional wireless LED devices.