Sediments represent the major sink for released silver nanoparticles (AgNPs) in aquatic environments. It is well known that the environmental behavior and toxicity of AgNPs in sediments are governed by their specific chemical species instead of their total concentration. This review focuses on various chemical transformations of AgNPs in sediments, which have not been well outlined before. We first outline the concentrations of AgNPs in sediments. The predicted concentrations are 1–5 µg kg–1 in most model studies. Once enter sediments, AgNPs are transformed to different species (e.g., Ag2S, Ag-humic substance complexes, AgCl, and Ag+) during multiple chemical transformations, such as oxidative dissolution, sulfidation, chlorination, and complexation. Those chemical behaviors mitigate the toxicity of AgNPs by reducing their availability and decreasing Ag+ release. Benthic invertebrates and microbes are prone to be affected by AgNPs. AgNPs are found to be accumulated in sediment-dwelling organisms and transferred to higher trophic levels along the food web. Besides X-ray absorption spectroscopy, reliable separation procedures coupled with detection techniques, are powerful tools that characterize the speciation of AgNPs in sediments. More research is needed to investigate diverse chemical transformations in various sediments through development of novel techniques and mathematical models.