Pharmaceutical companies have emphasized the controlled release of dosage forms such as solid formulation, semi-solid preparation, and topical preparation in the last ten years due to efficacy and patient acceptance. A transdermal drug delivery system is impossible for compounds whose final purpose is the skin. Common topical treatments have various drawbacks, such as a foul odour, greasiness, and skin irritation, as noted in case studies. In rare instances, many topical treatments do not reach the systemic circulation in sufficient concentrations. The latest formulation as a microsponge in fields of research overcomes this issue. Microsponges with a particle size of 10 to 25 microns in diameter have such a large amount of entrapment and release of multiple constituents in a single microsponges system. It is a new polymeric delivery system and sponge-like spherical particles with porous surfaces. External stimuli cause drug release in microsponge by (pH, temperature, and rubbing). Topical and oral delivery, are also possible with this method. In this review, the potential for oral, topical, antifungal, and other applications of the pharmaceutical ingredient to be entrapped in microsponges is discussed with it's limitations, benefits, and release mechanism. Also includes information on recent advancements and future prospects. A diverse variety of applications is preferred to develop medications with improved safety and efficacy. Cosmetics, over-the-counter skin care, sunscreens and prescription products are all utilized in microsponge drug delivery technology. Particle size, entrapment efficacy, true density, per cent drug content and dissolve tests, dissolution tests, compatibility studies and in-vitro study are carried out.