The invention discloses a Bluetooth tag function self-testing method and system applied to a Bluetooth tag with a reed switch, wherein the method comprises: after the Bluetooth tag is powered on, if it is detected that the Bluetooth tag is connected with the URAT interface of a tag detector, the tag detector sends a wired connection interaction test command in order that the Bluetooth tag enters awired connection interaction test mode; if the reed switch has a high potential, the Bluetooth tag enters a wireless pairable mode, and if wireless pairing is successful, the Bluetooth tag enters a wireless connection interaction test mode; if it is detected that the Bluetooth tag enters a self-test mode, the function of the Bluetooth tag is periodically detected. The method and system support various detection modes such as tag self-detection, wired connection interaction detection, wireless pairing interaction detection, fault location detection and the like, and realizes the detection of the tag driving, the hardware circuit and the performance of various functions.