Plant cell walls include lignin, a naturally occurring biopolymer that has high molecular weight and a complex, three-dimensional network structure. Plant rigidity and structural integrity are dependent on lignin. Despite lignin’s wide range of possible uses, direct usage of the material is hindered by its intrinsic hydrophobicity and structural complexity, especially in fluid conditions. To eliminate these limitations, introduce the practical method of alter the surface of lignin using polyethylene-block-poly (ethylene glycol) (PE-b-PEG). PE-b-PEG is a blend of hydrophilic poly (ethylene glycol) (PEG) and hydrophobic polyethylene (PE) segments that enhances the hydrophilicity, biocompatibility, thermal stability, and material compatibility of lignin. This modification process involves purification, activation, grafting or coating, and post-treatment stages. Characterization techniques such as Fourier transform infrared spectroscopy (FTIR), scanning electron microscopy (SEM), contact angle measurements, thermogravimetric analysis (TGA), and differential scanning calorimetry (DSC) confirm successful modification and evaluate the enhanced properties. The modified lignin finds applications in biomedical fields, composite materials, coatings, adhesives, high-temperature environments, and environmental applications, particularly in water treatment. This paper discusses the PE-b-PEG-modified lignin surface modification process, characterization, enhanced properties, and potential applications, highlighting its significance as a sustainable alternative to traditional synthetic materials.