The present invention relates to a virtual reality implementation system and a virtual reality implementation method thereof. In a virtual reality implementation system of the present invention, an actual object existing in a particular space and a virtual object virtually implemented and expressed in the particular space are displayed on a display panel of a wearable device. The particular space is defined by a plurality of location information transceiving sensors. A server stores, as three-dimensional images, image data of the actual object and image data of the virtual object and provides the image data to a user computer in the particular space. The server determines location information of a wearable device and location information of the actual object within the particular space. Then, when the actual object and the virtual object partially overlap, the server processes images such that the overlapping portion appears hidden or displayed to be seen on the display panel of the wearable device according to the visual field depth between image data of the actual object and image data of the virtual object. According to the present invention, a wearable device can be used in various spaces to express an actual object and a virtual object with a sense of reality, so as to implement a virtual reality and an augmented reality in a combined manner.