The skin is a vital organ that serves as a crucial barrier. However, wounds resulting from trauma, burns, or diseases can significantly impact one's quality of life, leading to complications like infection and tissue necrosis due to the failure of skin barrier function. Although traditional dressings are widely used, their passive and simple nature cannot effectively cope with the complex wound environment and individual clinical needs. Frequent dressing changes not only risk disrupting newly formed tissue and delaying the healing process but also reduce patient compliance, ultimately limiting their therapeutic efficacy. In contrast, recent advancements in smart wound dressings─such as hydrogels and nanomaterials─have demonstrated considerable potential to enhance healing outcomes due to their superior properties. These smart dressings can respond to microenvironmental triggers such as pH and temperature, which have revolutionized wound care by enabling targeted responses, including controlled drug release and enhanced angiogenesis. However, most of the current relevant reviews focus on the discussion of a single material or function, which is not enough to fully meet the complex clinical requirements. This review summarizes the advantages of smart wound dressings with a focus on their material compositions and mechanisms of action while systematically examining their responsive pathways and clinical applications. We also discussed the challenges that limit the development of this technology and explored its future directions, with the ultimate goal of inspiring innovative approaches for a next-generation therapeutics platform.