<p>The lack of availability of drugs raises concerns regarding the sustainability of healthcare systems. Investigating alternative sources of drugs is essential to address this issue. Seaweeds have long been used as a potential source of drugs. This review emphasizes seaweed as a possible sustainable resource for ecofriendly drug sources. Advantages of seaweed include its availability, renewability, and favorable environmental impact. This review begins with an overview of seaweeds, their therapeutically active components, and current applications, followed by green drug repurposing with their bioactive compounds. Moreover, we discuss the contribution of seaweed as a source of compounds for critical sectors, including cancer, neurodegenerative diseases, and immune disorders. In addition, efficient drug extraction processes from seaweeds and improvement of drug-delivery systems using seaweed compounds have been discussed. Overcoming global health challenges, such as antimicrobial resistance using seaweed components, is also highlighted. The environmental and economic impact of seaweed production is discussed, with a focus on the fact that it is a promising foundation for drug discovery and development. The regulatory and commercial prospects and barriers of seaweed-based drug production are addressed. Future directions and prospects of sustainable pipelines are presented, along with suggestions for industrial production, areas of additional research, and new trends in the manufacture of drugs from seaweeds. This review can contribute to seaweed-based drug solutions, promote sustainability, and create a greener future for drug production.</p> Graphical Abstract <p>The image was made using the BioRender software.</p> <p></p>