In the shocking clip, which was posted to YouTube on Monday, high-spirited demonstrators apparently use the Libyan dictator's corpse as a ventriloquist's doll.
The footage came to light after a Syrian activist linked to it on Twitter, aiming a threat at Syria's leader Bashar Al Assad, The Daily Mail reported.
The little over one minute-long video, whose authenticity cannot be independently verified, seems to have been filmed on October 20 last year, the day Gaddafi was captured and killed by rebel troops.
It shows a confused scene of celebration as young men shout and cheer next to a van containing an apparently dead body which resembles the dictator.
Its release comes less than two weeks after Libya's first democratic elections, which appear to have handed a victory to secular liberal forces.
Gaddafi ruled the Libya with an iron hand after wresting control from King Idris in a bloodless coup in 1969.
