The present invention provides an expandable capsule endoscope and an expandable capsule endoscopy system thereof. The expandable capsule endoscope is swallowed to provide the image inspection function of the digestive tract. The expandable capsule endoscope includes an endoscopy function module, an expandable structure and an expansion function module. The endoscopy function module is configured to capture the image outside the expandable capsule endoscope. The expandable structure covers the endoscopy function module. The expansion function module is disposed inside the expandable structure and configured to control the expansion of the expandable structure according to an expansion signal. Therefore, the expandable capsule endoscope can expand itself to a volume to stretch and flatten the wrinkles or folds of the intestine wall so as to facilitate image capturing and maintain the orientation of the expandable capsule endoscope.