The invention provides a vertical sludge drying, gasifying and incinerating integrated treatment device and method. The device comprises an electronic control chamber, a feed mechanism, a drying chamber, a gasifying chamber, a combustion chamber for incinerating sludge, a crushing mixer-mill and a waste heat recovery mechanism. The drying chamber, the gasifying chamber and the combustion chamber are sequentially arranged from top to bottom. The waste heat recovery system can recover and use heat of the combustion chamber and the gasifying chamber, sludge gasified by the gasifying chamber and a small amount of pulverized coal are mixed and milled in the crushing mixer-mill and then enter the combustion chamber to be incinerated, and gas generated after gasifying is completed is exhausted through a combustible gas channel formed in the drying chamber. The vertical sludge drying, gasifying and incinerating integrated treatment device and method have the advantages of being integrated, compact in structure, environmentally friendly, high in gasifying efficiency and wide in application range, saving energy and the like, and is suitable for treatment of common domestic sludge and chemical engineering polluted sludge and similarly suitable for treatment of urban solid waste, and therefore the problems of energy shortage and environmental pollution control are effectively relieved.