This research project aims at the development of new biopolymer nanocomposites which enable to act as a critical component to next generation medical device. In this paper, we developed an in situ method to encapsulate model protein, bovine serum albumin (BSA), within gelatin nanoparticles (NPs). The results demonstrate that the average diameter of the BSA-containing gelatin NPs is approximately 180 nm±10 nm. They can absorb up to 70% of water. The gelatin-nanoencapuslated BSA afterwards were loaded in the biopolymer film with thickness around 150 μm composed of poly(2-hydroxyethyl methacrylate) (pHEMA) through the photopolymerization. The release kinetics of BSA from the nanoparticles and the nanoparticle-laden p(HEMA) were studied through UV-Vis spectrometry, respectively. The releasing concentration of BSA increased with time (t), and about 80% of the encapsulated BSA was released in 80 hrs; while, the releasing profile of BSA from the gelatin nanoparticles-loaded hydrogel can be monitored up to 10 days. These studies show that the gelatin nanoparticles are able to encapsulate water-soluble protein. The hydrogel film, pHEMA, enable to further prolong the releasing profile for the water soluble protein. It is expected that this new biodegradable polymer nanocomposites can be an alternative materials for consisting of implant medical device for protein therapy.