The necessity to engineer sustainable nanomaterials for the environment and human health has recently increased. Due to their abundance, fast growth, easy cultivation, biocompatibility and richness of secondary metabolites, algae are valuable biological source for the green synthesis of nanoparticles (NPs). The aim of this review is to demonstrate the feasibility of using algal-based NPs for cancer treatment. Blue-green, brown, red and green micro- and macro-algae are the most commonly participating algae in the green synthesis of NPs. In this process, many algal bioactive compounds, such as proteins, carbohydrates, lipids, alkaloids, flavonoids and phenols, can catalyze the reduction of metal ions to NPs. In addition, many driving factors, including pH, temperature, duration, static conditions and substrate concentration, are involved to facilitate the green synthesis of algal-based NPs. Here, the biosynthesis, mechanisms and applications of algal-synthesized NPs in cancer therapy have been critically discussed. We also reviewed the effective role of algal synthesized NPs as anticancer treatment against human breast, colon and lung cancers and carcinoma.