With continuous development and increased utilization of renewable energy, energy storage technologies will play an important role in future energy internet. However, single energy storage technology can hardly meet requirements in practical application. This paper presents a new hybrid energy storage concept-liquid hydrogen with superconducting magnetic energy storage (LIQHYSMES). LIQHYSMES utilizes electric power to generate and liquefy H2, thus expanding capacity greatly. Therefore, LIQHYSMES is featured with both large capacity and rapid response as SMES. Owing to joint utilization of H2 part ofcryogenic infrastructure and SMES, LIQHYSMES investment and operation costs reducesignificantly. After presenting basic operational principle and structure of LIQHYSMES, techno-economic analysis and its typical applications in smart grid and future energy internet are discussed. Simulation results verify that LIQHYSMES has good potential on buffering imbalance power with wide range of time scale. Finally, key technical issues for its massive application in power system are expounded.