During the last years it has been an increasing focus on fundamental studies of the Fischer-Tropsch synthesis (FTS). Steady-state isotopic transient kinetic analysis and first principles investigation have proven to be important methods in studying the reaction mechanism of FTS. The present contribution deals with recent progresses in understanding of the F-T mechanism on Co catalysts based on combined DFT calculations, in situ characterization, steady-state isotopic transient kinetic analysis and microkinetics. A brief outlook into future perspectives of the FTS for converting synthesis gas from different carbon sources to fuels and chemicals is also provided.