Rechargeable lithium-carbon dioxide batteries provide a new method for CO2 capture and energy storage. Although the technology has made great progress from the beginning of its development to today, they still face many limitations and challenges in practical applications. Among them, although the research on the charging and discharging mechanism has made remarkable achievements, there are still some controversies. At present, most of the researches on lithium-carbon dioxide batteries focus on the preparation of cathode catalysts, such as carbon-based catalysts, noble metal-based catalysts, transition metal-based catalysts, and soluble catalysts, in terms of improving battery performance. Although the above-mentioned catalysts have significantly improved battery performance, there are few catalysts that can simultaneously meet the requirements of low price, simple preparation method and excellent catalytic performance. This is also one of the factors restricting the practical application of lithium-carbon dioxide batteries. Since the lithium-carbon dioxide battery is a semi-open system, the liquid electrolyte has problems such as leakage, evaporation, and lithium dendrites, which leads to a decrease in battery safety and performance. The use of quasi-solid electrolytes can effectively solve the above-mentioned problems and provide the possibility for the realization of flexible wearable lithium-carbon dioxide batteries. This article summarizes the research progress of key materials for lithium-carbon dioxide batteries, and introduces the charging and discharging mechanism of lithium-carbon dioxide batteries, cathode catalysts, solid electrolytes, and anode lithium protection. The current development status, challenges and development trend has been summarized. It provides a reference for the devel opment of high-efficiency and reversible lithium-carbon dioxide batteries.