Restorative justice (RJ) emerged in the late 1970s as an alternative to conventional youth and criminal justice practices. Since this time, RJ has experienced rapid growth in theory and practice. At the same time, much of this growth has come from expansion in lower-end criminal justice responses to crime, and in the increasing use of the term “restorative” for a widening host of practices and interventions. RJ has also faced problems related to its increasing institutionalization, resulting in divergence from earlier aims and goals. In this article, we set forth what we see as the four biggest challenges facing the future of RJ, namely problems related to definition, institutionalization, displacement, and relevance of RJ practices. We follow with discussion of possible future directions of RJ.