This paper presents a novel method of an on-sensor motion vector estimation. One of the key techniques is an iterative block matching algorithm using high-speed interpolated pictures. This technique allows us to estimate the video-rate (30 frame/s) motion vectors accurately from the motion vectors obtained at high-speed frames. The proposed iterative block matching reduces the computational complexity by a factor of more than one tenth compared to the conventional full search block matching algorithm. This property is particularly useful for the reduction of the power dissipation of video encoder. Another proposed technique is a high-speed non-destructive image sensing. This technique is essential to obtain high-speed interpolated pictures while maintaining high image quality in video-rate image sensing. The estimated power dissipation of the designed CMOS image sensor is sufficiently low, allowing us to achieve a totally low-power design of one-chip CMOS cameras integrating an image sensor and a video encoder.