Plastics introduced into the natural environment persist, degrade, and fragment into smaller particles due to various environmental factors. Microplastics (MPs) (ranging from 1 μm to 5 mm) and nanoplastics (NPs) (less than 1 μm) have emerged as pollutants posing a significant threat to all life forms on Earth. Easily ingested by living organisms, they lead to ongoing bioaccumulation and biomagnification. This review summarizes existing studies on the sources of MPs and NPs in various environments, highlighting their widespread presence in air, water, and soil. It primarily focuses on the sources, fate, degradation, fragmentation, transport, and ecotoxicity of MPs and NPs. The aim is to elucidate their harmful effects on marine organisms, soil biota, plants, mammals, and humans, thereby enhancing the understanding of the complex impacts of plastic particles on the environment. Additionally, this review highlights remediation technologies and global legislative and institutional measures for managing waste associated with MPs and NPs. It also shows that effectively combating plastic pollution requires the synergization of diverse management, monitoring strategies, and regulatory measures into a comprehensive policy framework.