The invention discloses a fragrant environment-friendly coating. The fragrant environment-friendly coating comprises the following components of, in parts by weight, 30-40 parts of pure acrylate soft emulsion; 4-6 parts of pure acrylate hard emulsion; 65-75 parts of water; 0.5-1.5 parts of microcapsule essence; and 0.1-0.2 part of a thickening agent. The fragrant environment-friendly coating disclosed by the invention is applied to the wall cloth, so that pleasant fragrance is provided for the wall cloth. The invention further provides a preparation method of the fragrant environment-friendly coating wall cloth, the environment-friendly coating wall cloth comprises a base layer fabric, a waterproof layer, a bottom layer, a middle layer and a surface layer, the base layer fabric is basic cloth, the waterproof layer is endowed to the base layer, the bottom layer is the fragrant environment-friendly coating, the middle layer is a titanium dioxide slurry layer, the surface layer is a protective layer, and the method comprises the following steps of S1, carrying out waterproof treatment on the base layer cloth, and drying and shaping in a drying oven at a certain temperature; S2, coating the fragrant environment-friendly coating on the cloth obtained in the step S1, and drying; and S3, then coating the middle layer and the surface layer to obtain the wall cloth.