SummaryUnderwater wireless sensor network (UWSN) connects the real world to the hidden resources available deep into the sea using sensor nodes deployed sparsely and are interconnected to gather information for any movement/change in the ocean. The computed information on nodes obtained from concurrently running UWSN's applications will be meaningful, only if the location of this change will be identified. Nevertheless, it is always difficult to obtain the exact location coordinates of any misadventure like tectonic plate's movement but using localization algorithms in UWSN helps to obtain the coordinates. Since localization algorithms for terrestrial networks are not feasible for UWSN because of environmental challenges. Moreover, GPS systems do not work after 15 m of depth and the radio frequency gets suppressed. So, the requirement arises to analyze existing localization approaches in the deep sea where acoustic signals are used for communication and data transfer. In this paper, along with describing the UWSN's applications and challenges, the underwater localization schemes are reviewed to present, summarize, and mention the scope of improvement. Further, classification into range‐based and range‐free categories of these schemes is depicted with implementation in the NS2.30 simulation environment of some of the recent techniques to showcase the reasons for better performance.