Developing affordable and high‐performance catalysts for water electrolyzers and fuel cell devices is an emerging field of research aiming for their feasible implementation and thus addressing sustainable global energy demands. Accordingly, several catalytic systems have been developed for anodic oxidation reactions and cathodic reduction reactions. Specifically, more research attention has been focused on viable catalyst synthesis processes including design, choice of precursors, reaction conditions, and regulation steps for achieving desirable properties and performances. Intriguingly, biomass has been demonstrated as a promising precursor for the potential design of different carbon‐based catalysts for electrocatalytic oxidation/reduction reactions. In this review, the recent developments in using biomass precursors to derive different nanostructures are systematically discussed. The biomass‐derived catalysts especially applied for reduction reactions (hydrogen evolution and oxygen reduction reactions) are summarized, and the impact of various catalysts’ engineering routes (incorporation of metals and nonmetals into the carbon structures) on the resulting structure–performance relationship is critically discussed. Further, this review highlights the performance of various biomass‐derived catalysts toward electrocatalytic reduction reactions that unveil the catalyst's intrinsic features such as selectivity, activity, and durability. The summarized results and the critical discussion will facilitate screening of the best biomass precursor, identifying suitable regulation strategies for accomplishing desirable properties, and thus advancing the next‐generation catalysts’ developments. Further, the significance, challenges, and perspectives on biomass‐derived catalysts for electrocatalysis are comprehensively discussed.