Amid global efforts toward carbon neutrality, nanoconfined catalysis has emerged as a transformative strategy to address energy transition challenges through precise regulation of catalytic microenvironments. This review systematically examines recent advancements in nanoconfined catalytic systems for carbon-based energy conversion (CO2, CH4, etc.), highlighting their unique capability to modulate electronic structures and reaction pathways via quantum confinement and interfacial effects. By categorizing their architectures into dimension-oriented frameworks (1D nanotube channels, 2D layered interfaces, 3D core-shell structures, and heterointerfaces), we reveal how geometric constraints synergize with mass/electron transfer dynamics to enhance selectivity and stability. Critical optimization strategies—including heteroatom doping to optimize active site coordination, defect engineering to lower energy barriers, and surface modification to tailor local microenvironments—are analyzed to elucidate their roles in stabilizing metastable intermediates and suppressing catalyst deactivation. We further emphasize the integration of machine learning, in situ characterization, and modular design as essential pathways to establish structure–activity correlations and accelerate industrial implementation. This work provides a multidimensional perspective bridging fundamental mechanisms with practical applications to advance carbon-neutral energy systems.