Lipid-based drug delivery systems (LBDDS) have gained significant attention in the pharmaceutical industry due to their ability to enhance solubility, bioavailability, and stability of various drugs. This chapter explores the formulation strategies and applications of LBDDS in drug delivery. The formulation of LBDDS involves the use of lipids such as triglycerides, phospholipids, and surfactants to create various formulations such as liposomes, solid lipid nanoparticles (SLNs), nanostructured lipid carriers (NLCs), and lipid-based micelles. These systems offer advantages such as sustained release, targeted delivery, and protection of drugs from degradation. LBDDS find applications in delivering both hydrophilic and hydrophobic drugs, including anticancer agents, antimicrobials, anti-inflammatory drugs, and peptides. This chapter discusses the key formulation techniques, characterization methods, and recent advancements in LBDDS, highlighting their potential to overcome challenges associated with conventional drug delivery systems and improve therapeutic outcomes.