This review provides an overview of microcapsule self-healing technology and its application in the field of cement-based materials, as well as future prospects. The presence of cracks and damage in cement-based structures during service has a significant impact on their lifespan and safety performance. Microcapsule self-healing technology shows promise in achieving self-healing by encapsulating healing agents within microcapsules, which are released upon damage to the cement-based material. The review starts by explaining the fundamental principles of microcapsule self-healing technology and explores various methods for preparing and characterizing microcapsules. It also investigates the influence of incorporating microcapsules on the initial properties of cement-based materials. Additionally, the self-healing mechanisms and effectiveness of microcapsules are summarized. Finally, the review discusses the future development directions for microcapsule self-healing technology, outlining potential areas for further research and advancement.