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Even with the high advancement of the pavement industry, the use of traditional hot mix asphalt (HMA) for pavement construction and maintenance is associated with high energy consumption, greenhouse gas emissions, and production costs. As a result, researchers and industrial practitioners aspire to use cold mix asphalt (CMA) as an alternative that offers environmental and economic benefits. This paper provides an overview of the advancements and challenges in using CMA for sustainable and cost-effective pavement solutions. The paper reviews portrays, and discloses CMA’s recent benefits, such as reduced energy consumption, lower emissions, and enhanced durability. Additionally, the paper addresses the challenges associated with using CMA, including its limited application areas and potential performance issues. It discusses the strategies being developed to overcome these challenges. Furthermore, the paper concludes with recommendations for the future of research and industry development of CMA to further promotion. Meanwhile, it is finalizing the current sight for using CMA as a sustainable, cost-effective pavement solution.