<p>This review examines the ecotoxicological effects of biodegradable and compostable bags on freshwater organisms. These biodegradable packaging materials are increasingly marketed as environmentally friendly alternatives to conventional plastics. However, emerging research suggests that biodegradable plastics may pose comparable or even heightened ecological risks. Evidence indicates that these materials may fragment into micro/nanoplastics at a faster rate than conventional plastics; however, similar to conventional microplastics, the resulting particles can persist in the environment, contributing to long-term ecological risks in freshwater systems. Additionally, the leaching of chemical additives and interactions with environmental contaminants can exacerbate toxicity, influencing key ecological functions such as nutrient cycling and species interactions. Despite their intended biodegradability, many compounds persist in freshwater environments, raising concerns about regulatory oversight and the effectiveness of current biodegradability standards. To address these challenges, future research should focus on improving material design, enhancing biodegradation efficiency, and developing comprehensive regulatory frameworks that assess both degradation rates and toxicity.</p>