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Recent advancements have transformed lignin from a byproduct into a valuable raw material for polymers, dyes, adhesives, and fertilizers. However, its structural heterogeneity, variable reactive group content, impurities, and high extraction costs pose challenges to industrial-scale adoption. Efficient separation technologies and selective bond cleavage are crucial. Advanced pretreatment methods have enhanced lignin purity and reduced contamination, while novel catalytic techniques have improved depolymerization efficiency and selectivity. This review compares catalytic depolymerization methodologies, highlighting their advantages and disadvantages, and noting challenges in comparing yield values due to variations in isolation methods and lignin sources. Recognizing "technical lignin" from pulping processes, the review emphasizes its diverse applications and the necessity of understanding its structural characteristics. Emerging trends focus on bio-based functional additives and nanostructured lignin materials, promising enhanced properties and functionalities. Innovations open possibilities in sustainable agriculture, high-performance foams and composites, and advanced medical applications like drug delivery and wound healing. Leveraging lignin's biocompatibility, abundance, and potential for high-value applications, it can significantly contribute to sustainable material development across various industries. Continuous research in bio-based additives and nanostructured materials underscores lignin's potential to revolutionize material science and promote environmentally friendly industrial applications., Competing Interests: Declaration of competing interest The authors declare the following financial interests/personal relationships which may be considered as potential competing interests: Nurul Fazita Mohammad Rawi reports financial support was provided by Ministry of Higher Education, Malaysia., (Copyright © 2024 Elsevier B.V. All rights reserved.)