Applications of clathrate hydrate require fast formation kinetics of it, which is the long-standing technological bottleneck due to mass transfer and heat transfer limitations. Although several methods, such as surfactants and mechanical stirring, have been employed to accelerate gas hydrate formation, the problems they bring are not negligible. Recently, a new water-in-air dispersion stabilized by hydrophobic nanosilica, dry water, has been used as an effective promoter for hydrate formation. In this review, we summarize the preparation procedure of dry water and factors affecting the physical properties of dry water dispersion. The effect of dry water dispersion on gas hydrate formation is discussed from the thermodynamic and kinetic points of view. Dry water dispersion shifts the gas hydrate phase boundary to milder conditions. Dry water increases the gas hydrate formation rate and improves gas storage capacity by enhancing water-guest gas contact. The performance comparison and synergy of dry water with other common hydrate promoters are also summarized. The self-preservation effect of dry water hydrate was investigated. Despite the prominent effect of dry water in promoting gas hydrate formation, its reusability problem still remains to be solved. We present and compare several methods to improve its reusability. Finally, we propose knowledge gaps in dry water hydrate research and future research directions.