Waste material generated from food sources contributes a significant percentage of the waste generated worldwide. However, it is believed that about two-thirds of food is wasted globally. Anaerobic digestion methods have established important prospects in the field of food waste treatment. Obviously, it can produce significant amounts of energy and can remove a significant proportion of the organics. Microalgae represent a promising option for recycling waste nutrients from different types of food waste that can reduce the cost of producing different value-added products. The process of cultivating microalgae in anaerobic digestate from food waste fulfills the two objectives of environmental policy, i.e., treatment and recovery. This review focuses on the cultivation of microalgae in wastewater from the anaerobic digestate of food waste and the extraction of different value-added products from the biomass of microalgae. © 2021, The Author(s), under exclusive licence to Springer-Verlag GmbH Germany, part of Springer Nature.