Using cyclodextrins (CDs) in packaging technologies helps volatile or bioactive molecules improve their solubility, to guarantee the homogeneous distribution of the complexed molecules, protecting them from volatilization, oxidation, and temperature fluctuations when they are associated with polymeric matrices. This technology is also suitable for the controlled release of active substances and allows the exploration of their association with biodegradable polymer targeting to reduce the negative environmental impacts of food packaging. Here, we present a fresh look at the current status of and future prospects regarding the different strategies used to associate cyclodextrins and their derivatives with polymeric matrices to fabricate sustainable and biodegradable active food packaging (AFP). Particular attention is paid to the materials and the fabrication technologies available to date. In addition, the use of cutting-edge strategies, including the trend of nanotechnologies in active food packaging, is emphasized. Furthermore, a critical view on the risks to human health and the associated updated legislation is provided. Some of the more representative patents and commercial products that currently use AFP are also listed. Finally, the current and future research challenges which must be addressed are discussed.