Substantial evolution in the development and valorization of lignin-based bionanohybrids as an emergent and highly functioning sustainable and ecological material for heavy metals elimination have been accomplished in modern era. The recent studies regarding exploitation of lignin in fabrication of bionanohybrids, by utilizing highly useful synergistic interactions, suggest exceptional prospects considering the domains of green chemistry, energy and environment, polymer technology, material science, and other closely related fields. In this review chapter, the lignin-based bionanohybrids are briefly introduced and their synthesis and characterization methods along with adsorption principles are thoroughly discussed. The potential of lignin-based bionanohybrids, explicitly in removal of heavy metals, and in other applications is highlighted. The benefit of lignin-based bionanohybrids as compared to other developed counterparts for heavy metals remediation is furthermore reviewed. This review also summarizes the future challenges and prospects of lignin-based bionanohybrids which could place this promising material as one of the forerunners in committing environmentally-friendly bioeconomy by closing the significant gap between fundamental and application-based research.