Abstract: After a brief introduction of the connotation and principle of the settlement reconstruction, the remarkable developments in the post-earthquake reconstruction was given a brief analysis and it is found that the spatial structure of settlements has been optimized; industrial development of settlements has undergone a substantial development; regional urbanization with unique characteristics has gradually taken shape. Yet settlements still face tough challenges after the reconstruction. Firstly, the fragile regional ecosystem and the over-emphasized eco-service function. Secondly, some of the rural settlements are developed in a disordered manner, and inadequate attention is put to the residents' sustainable livelihood. In view of the above problems, some countermeasures and suggestions are made for the optimization of the settlement in earthquake-stricken areas of Wenchuan: the development of eco-tourism and related cultural industry; ecological agriculture, and the energy industry in combination with the ecological garden construction, the implementation of eco-forestry to establish an ecological compensation system; to take the forest carbon trading as the funding source for the optimization settlements to consolidate the socio-economic achievements of the post-disaster reconstruction.