<p>Internet of Things based solutions have gained immense momentum in recent decades. Numerous devices are connected through the internet in the present IoT-based smart environments wherein the primary focus of such devices emphasizes on providing user convenience, efficiency, and digitization, reducing the need for human intervention. The streaming devices in these frameworks are often connected to a centralized server supporting the resource-constrained aspect of IoT based systems. However, there are associated challenges pertaining to plausible security compromises in the centralized repositories. Also, the use of limited resources hinders the integration of blockchain with versatile technologies. These challenges have led to the development of Lightweight blockchain (LWBC) solutions. This review made a critical analysis of the LWBC frameworks highlighting consensus mechanisms, cryptographic optimizations, and the integration of Artificial Intelligence (AI) for improved security and operational efficiency. The resilient nature of the LWBC frameworks in spite of cyber-attacks, as highlighted in the paper would motivate the research community to explore its full potential and capability. Unlike previous works, this paper critically compares key frameworks, identifies trade-offs, and highlights unresolved challenges. It also evaluates the role of AI in adaptive threat detection, decision-making, and scalability within blockchain-enabled smart ecosystems. Performance metrics, including latency, throughput, and energy consumption, are analyzed using representative case studies and visual comparisons. Finally, the paper provides direction for future research related to LWBC which would act as a stepping stone for further research and development activities.</p>