Demineralized bone matrix fibers and a demineralized bone matrix composition are provided. The demineralized bone matrix fibers have an average fiber length in the range from about 250 .mu.m to about 2 mm and an aspect ratio of greater than about 4. The demineralized bone matrix composition includes demineralized bone matrix fibers and a biocompatible liquid in an amount to produce a coherent, formable mass. The formable mass retains its cohesiveness when immersed in a liquid. Methods for making the demineralized bone matrix fibers and composition are also provided.