Plastic pollution has emerged as a significant environmental challenge, intensified by the pandemic and the increased use of disposable face masks. This pollution poses significant risks to both marine and terrestrial ecosystems, impacting wildlife and human health. Addressing this problem requires robust waste management strategies, especially those centered on creative recycling methods. This review examines the environmental effects of discarded face masks, emphasizing their growing accumulation in landfills and waterways. It provides an extensive overview of recent developments in converting face masks into value-added products, such as thermal insulation, sound absorption, and electromagnetic shielding materials, highlighting the concept of “waste to wealth”. The review also explores various processing techniques, types of masks, and composites incorporating metals, oxides, carbon nanotubes, and polymers. By assessing the functional properties of face mask-derived materials, this review supports sustainable approaches to managing mask waste and offers insights into developing environmentally friendly shielding and insulation solutions to help reduce ecological impacts.