Chocobos are birds that can be riding on. There are all kind of Chocobos.
Yellow Chocobos Can go anywhere you can normally get to on foot. The sole advantage is that a chocobo is a lot quicker than walking.
Light Blue Chocobos Can walk along rivers, but they can’t go past waterfalls. They can also walk in shallow water.
Red Chocobos can run over mountains, even the pointed mountains. They can also dash over most cliffs and drops
Blue Chocobos Can walk along rivers and move around in shallow water. They can also run over mountains and cliffs. Unlike the blue or green chocobos, the black variety can go over any cliff or drop: even walk up or down waterfalls.
Gold Chocobos Can do everything a black chocobo can–they can also walk in the ocean, allowing you to go anywhere you want. Truly the ultimate in transportation!
Obtaining a Chocobo is easy. First you must find the Chocobo Forest area, which is on the Mist Continent… by the lower exit of Lindbulm. Enter the forest, and the Chocobo that is there will run away. Talk to the mogli, and he’ll give you a Gisal Green. Go outside and use the Greens wherever you see Chocobo tracks on the ground, and call over the Chocobo. (Same looking tracks as FF7 had). You can get more Greens from the mogli in the forest, if you’re willing to pay Gil.
Also, if you use a Dead Pepper while on the Chocobo, it’s digging power will increase. It is even rumored that they can break through cracks in various places of the world with enough power.