The invention discloses an IC card with a high-precision positioning function, an application method thereof, and an IC card-based monitoring system. On the basis of an ordinary IC card, the thicknessto the IC card of the invention is increased, and a sub-meter-level positioning function and a network communication function are realized for the IC card, and therefore, the IC card can perform real-time monitoring on the overspeed statuses, lane change information, and lane occupancy information of vehicles traveling on an expressway, and can be used as an expressway billing and regulation violation recording and positioning card with a positioning function. When matched with a high-precision map, the IC card can monitor the position information and speed information of the vehicles on theexpressway in real time, record the travel distances of the vehicles, the traffic flow of various sections of the expressway, perform real-time monitoring to judge whether the vehicles occupy lanes illegally, perform real-time monitoring to judge whether the vehicles change the lanes illegally, can be charged through a wireless charging mode and a solar charging mode, return all kinds of vehicle information to a monitoring platform in real time and support an inertial navigation function to achieve accurate positioning in areas such as tunnels where positioning cannot be realized. The unifiedarrangement and management of the IC card can be facilitated.