Recently, biochar has received significant attention, especially for the removal of potentially toxic elements (PTEs) from water and wastewater. No review has been focused on the potential use of wood-based biochar (WB) for the removal of PTEs in water and wastewater. Here, we have critically reviewed the (i) preparation and characterisation of WB; (ii) removal efficiency of WB for PTEs in water with respect to its physicochemical characteristics, biochar/water ratio, pH, and sorption system; (iii) removal mechanisms of PTEs by WB; (iv) fate of the sorbed PTEs onto WB; and (v) recovery of the sorbed PTEs from the resultant sludge of WB. We also discussed the removal of PTEs by engineered/designer WB as compared to pristine WB. This review demonstrates the overarching scientific opportunities for a comprehensive understanding of using WB as an emerging biosorbent and a promising low-cost and effective material for the remediation of PTEs contaminated water.