Synthetic dyes are prone to water pollution during use, jeopardizing biodiversity and human health. This study aimed to investigate the adsorption and photocatalytic assist potential of sodium lignosulfonate (LS) in in situ reduced silver nanoparticles (AgNPs) and chitosan (CS)-loaded silver nanoparticles (CS-LS/AgNPs) as adsorbents for Rhodamine B (RhB). The AgNPs were synthesized by doping LS on the surface of chitosan for modification. Fourier transform infrared (FT-IR) spectrometry, energy-dispersive spectroscopy (EDS), scanning electron microscopy (SEM), X-ray diffraction (XRD), and X-ray photoelectron spectroscopy (XPS) were used to confirm the synthesis of nanomaterials. The adsorption and photocatalytic removal experiments of RhB were carried out under optimal conditions (initial dye concentration of 20 mg/L, adsorbent dosage of 0.02 g, time of 60 min, and UV power of 250 W), and the kinetics of dye degradation was also investigated, which showed that the removal rate of RhB by AgNPs photocatalysis can reach 55%. The results indicated that LS was highly effective as a reducing agent for the large-scale production of metal nanoparticles and can be used for dye decolorization. This work provides a new catalyst for the effective removal of dye from wastewater, and can achieve high-value applications of chitosan and lignin.