Palaemon pugio, commonly known as daggerblade grass shrimp, is a small, transparent species of shrimp with yellow coloring and brownish spots.

[1] It can be found in estuarine and tidal marsh habitats throughout the western Atlantic Ocean and Gulf of Mexico.

Palaemon pugio has a smooth carapace and abdomen, as well as three pairs of legs.

It reaches a length of around 5 cm (2.0 in), and has a life span of around one year.

Like most grass shrimp, it is a forager and feeds on a variety of items, including microalgae.