Moving towards a cleaner, greener, and more sustainable future, expanding electric vehicles (EVs) adoption is inevitable. However, uncontrolled charging of EVs, especially with their increased penetration among the utility grid, imposes several negative technical impacts, including grid instability and deteriorated power quality in addition to overloading conditions. Hence, smart and coordinated charging is crucial in EV electrification, where Vehicle-to-Grid (V2G) technology is gaining much interest. Owing to its inherited capability of bi-directional power flow, V2G is capable of enhancing grid stability and resilience, load balancing, and congestion alleviation, as well as supporting renewable energy sources (RESs) integration. However, as with most emerging technologies, there are still technical research gaps that need to be addressed. In addition to these technical impacts, other multidisciplinary factors must be investigated to promote EVs adoption and V2G implementation. This paper provides a detailed demonstration of the technical problems associated with EVs penetration in distribution networks along with quantifiable insights into these limitations and the corresponding mitigation schemes. In addition, it discusses V2G benefits for power systems and consumers, as well as explores their technical barriers and research directions to adequately regulate their services and encourage EV’s owners to its embracement. Moreover, other factors, including regulatory, social, economic and environmental ones that affect EV market penetration are being studied and related challenges are analyzed to draw recommendations that aid market growth.