Large quantities of abandoned marine soft soil are generated from coastal engineering which cannot be directly utilized for construction without modification. The utilization of traditional binders to modify abandoned marine soft soil yields materials with favorable mechanical properties and cost efficiency. However, the production of traditional binders like cement leads to environmental pollution. This study uses a CGF all-solid-waste binder (abbreviated as CGF) composed of industrial solid waste materials such as calcium carbide residue (CCR), ground granulated blast furnace slag (GGBS), and fly ash (FA), developed by our research team, for the modification of abandoned marine soft soil (referred to as modified soil). It is noteworthy that the marine soft soil utilized in this study was obtained from the coastal area of Jiaozhou Bay, Qingdao, China. Physical property tests, compaction tests, and unconfined compressive strength (UCS) tests were conducted on the modified soil. The investigation analyzed the effects of binder content, compaction delay time, and curing time on the physical, compaction, and mechanical properties of CGF-modified soil and cement-modified soil. Additionally, microscopic experimental results were integrated to elucidate the mechanical improvement mechanisms of CGF on abandoned marine soft soil. The results show that after modification with binders, the water content of abandoned marine soft soil significantly decreases due to both physical mixing and chemical reactions. With an increase in compaction delay time, the impact of chemical reactions on reducing water content gradually surpasses that of physical mixing, and the plasticity of the modified soil notably modifies. The addition of binders results in an increase in the optimum moisture content and a decrease in the maximum dry density of CGF-modified soil, while the optimum moisture content decreases and the maximum dry density increases for cement-modified soil. Moreover, with an increase in binder content, the compaction curve of CGF-modified soil gradually shifts downward and to the right, while for cement-modified soil, it shifts upward and to the left. Additionally, the maximum dry density of both CGF-modified and cement-modified soils shows a declining trend with the increase in compaction delay time, while the optimum moisture content of CGF-modified soil increases and that of cement-modified soil exhibits a slight decrease. The strength of compacted modified soil is determined by the initial moisture ratio, binder content, compaction delay time, and curing time. The process of CGF modification of marine soft soil in Jiaozhou Bay can be delineated into stages of modified soil formation, formation of compacted modified soil, and curing of compacted modified soil. The modification mechanisms primarily involve the alkali excitation reaction of CGF itself, pozzolanic reaction, ion-exchange reaction, and carbonization reaction. Through quantitative calculations, the carbon footprint and unit strength cost of CGF are both significantly lower than those of cement.