Feedback is an important element of learning, and peer feedback is now being increasingly used by more educators. Researchers acknowledge that students’ ability to read, interpret and use feedback can be developed, and more research is needed on how to achieve it. This study attempted to find out whether peer feedback helps foster student feedback literacy in an online learning environment. In this article, we attempt to showcase how students’ feedback literacy changed at the end of a 14-week process involving predominantly asynchronous peer interactions. This work was carried out as a mixed method study in a group of second-year undergraduate students from a state university. Study data were collected using two different questionnaires and one assessment rubric. The results showed that in an online learning environment, peer feedback can be a way to support the improvement of student feedback literacy.