MXene, a promising two-dimensional nanomaterial, exhibits significant potential across various applications due to its multilayered structure, metal-like conductivity, solution processability, and surface functionalization capabilities. These remarkable properties facilitate the integration of MXenes and MXene-based materials into high-performance polymer composites. Regarding this, a comprehensive and well-structured up-to-date review is essential to provide an in-depth understanding of MXene/thermoplastic polyurethane nanocomposites. This review discusses various synthetic and modification methods of MXenes, current research progress and future potential on MXene/thermoplastic polyurethane nanocomposites, existing knowledge gaps, and further development. The main focus is on discussing strategies for modifying MXene-based compounds and their flame-retardant efficiency, with particular emphasis on understanding their mechanisms within the TPU matrix. Ultimately, this review addresses current challenges and suggests future directions for the practical utilization of these materials.