<p>The unprecedented surge in global lithium demand, propelled by the transition to renewable energy and the proliferation of lithium-ion battery technologies, has introduced complex environmental and health challenges in the Anthropocene. This review synthesizes current knowledge on the environmental dynamics of lithium, tracing contamination pathways from mining, chemical processing, industrial discharges, and improper disposal of lithium-containing products. Lithium’s high mobility and solubility facilitate its widespread distribution in aquatic and terrestrial ecosystems, often resulting in concentrations that far exceed natural background levels near extraction and manufacturing sites. Elevated lithium levels disrupt soil chemistry, impair plant growth, alter microbial communities, and induce behavioral and physiological changes in aquatic organisms. Human health risks, though less well-characterized, include potential associations with thyroid dysfunction, renal impairment, and neurological effects, particularly in regions with contaminated water supplies. The review critically examines conventional and emerging remediation strategies, such as advanced adsorption materials and phytoremediation, highlighting their potential and limitations. Furthermore, it underscores the urgent need for harmonized regulatory frameworks and sustainable management practices to mitigate lithium’s environmental footprint. Integrating environmental safeguards with technological innovation and policy development is essential to balancing the societal benefits of lithium-based products with the imperative of ecological preservation and public health protection. This comprehensive assessment provides a foundation for future research and informed decision-making in the sustainable stewardship of lithium resources.</p>