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The purpose of paper is to describe the importance of traditional knowledge in the field of medicine. It particularly discusses the importance of traditional medicine knowledge in the developing countries and the challenges involved in preservation and protectionof it. It evaluates the role of the Traditional Knowledge Digital Library (TKDL) and Traditional Chinese Medicine (TCM) database with protection and preservation. The paper outlines the theoretical aspect of knowledge preservation, especially with reference to the protection from bio-piracy. The TKDL and TCM database codified traditional medicinal knowledge and made them available in international languages. Both the databases have rich collection of traditional medicine system for the help of researchers and medical professionals. The paper discusses the theoretical and conceptual understandings of traditional knowledge, and its preservation and protection. [ABSTRACT FROM AUTHOR]