ocr: Fish Fish are cold-blooded water-living animals found all over the world in fresh and salt water. The brightly colored fish shown here live around coral reefs of1 tropical oceans. Coral reefs provide home to a wide variety of animal life. Fish breath using gills - special organs through which blood passes close to the skin. The blood absorbs oxygen from the water, in much the same way as - our the blood vessels in our own lungs absorb oxygen from the air.