Compared with other biomass sources, the use of algae as a raw material to prepare biochar (BC) has important advantages including safety, high yield and economy. The protein content of algae cells is as high as 3.2 mg DCW/L, and the graphitic-N and N-O functional groups generated by the pyrolysis of proteins could effectively activate free radicals. Combined with the generated pore structure, the electron transfer/exchange capability was enhanced, which is conducive to improving its catalytic performance. Algae as a natural N source, the manuscript analyzed the surface properties and physicochemical properties of algae-based BC, and investigated its degradation effect on organic/inorganic pollutants in wastewater. Subsequently, the effect of nitrogen-doped BC on the adsorption/catalysis capacity was discussed. Finally, the directed preparation of algae-based BC applied in different scenarios was summarized. Algae-based BC has the property of N doping, which broadens its application efficiency in the environmental field. Overall, this manuscript reviews how to achieve efficient utilization of algae-based BC in wastewater.