Phycoremediation is emerging as an innovative approach for the remediation of different types of wastewater rich in nutrients, dyes, pharmaceuticals, as well as other organic and inorganic pollutants. Different microalgal species (Chlorella, Chlamydomonas, Scenedesmus, etc.) have been employed for remediation of various kinds of wastewater, such as domestic, industrial, and municipal wastewater. Phycoremediation provides advantages over conventional treatment methods because it does not negatively impact the environment, and the complete removal of pollutants is also evidenced in many studies. However, several factors, like temperature, pH, light, etc., may impact the efficacy of the removal process, with the best removal found at optimum conditions, which may vary for each strain. Furthermore, the treatment process is accompanied by high-biomass production that can be used commercially in the biofuel, nutraceutical, pharmaceutical, and biofertilizers industries. This chapter, therefore, aims to provide insights into the bioremediation potential of microalgae with various value-added products linked with generated biomass. Microalgae-mediated contaminant removal from different wastewater, the impact of culture conditions on the remediation efficiency and the mechanisms (biodegradation, biosorption, bioaccumulation) governing remediation have been discussed. Potential commercial applications of the generated microalgal biomass are also discussed.