Microbial remediation is considered an effective remedial technique for tackling the problem of cadmium contamination of soil and water. The perks lie in the environmentally friendly nature of the method over other conventional remediation techniques. Microbes are well known to utilize the mechanisms of adsorption and cellular uptake for remediation. However, in the past few years, microbial-induced carbonate precipitation (MICP) has been proven to be an equally effective method. The formation of minerals by microbes through an intriguing natural process of biomineralization provides a useful method for encapsulating and sequestering toxic heavy metal ions like Cd into relatively stable solid phases thereby reducing their bioavailability in the natural environment. The current study thus aimed to summarize the recent advancements in heavy metal treatment through the MICP process, particularly emphasizing on Cd stabilization. Subsequently, the underlying mechanisms, along with the chemical and physical factors influencing the precipitation process, are explored. Finally, the challenges in the practical implementation of the process are addressed while discussing the future aspects.