White Rot Fungi (WRF) are a class of microorganisms widely understood for their ability to breakdown an extensive range of pollutants generally found in industrial wastewater. This specific literature review centers on the abilities of the White Rot Fungi to treat industrial wastewater, analysis of the biodegradation mechanism, future applications, and scaling up for practical implementation. WRF usually carry out the degradation process with ligninolytic enzyme by targeting complex industrial pollutants, such as aromatic hydrocarbons, dyes, pharmaceuticals, and products of personal care. The unique enzymatic system of WRF converts the complex and harmful industrial pollutants into harmless end and byproducts, thus minimizing the impact on the environment and ecosystem. This review paper also discusses the potential applications of WRF, such as bioremediation, biosorption, and co-culturing with bacteria to enhance the pollutants removal efficiency of already functional wastewater treatment plants. However, there are still challenges in scaling up WRF-based treatment facilities due to factors such as the optimization of conditions and processes of already functional conventional wastewater treatment plants, cost effectiveness, and design modifications of treatment facilities. Conclusively, WRF fungi can play an important role in degrading complex organic and inorganic pollutants specifically, which are not usually treated by conventional wastewater treatment plants.