Coupling algae growth on wastewater with hydrothermal liquefaction (HTL) is regarded as an environmentenhancing pathway for wastewater management, biomass amplification, sustainable energy generation and value-added products generation. Through this integrated pathway, microalgae can not only recover nitrogen and phosphorus, but also absorb heavy metals from the wastewater. The migration and transformation of heavy metals need to be specifically assessed and considered due to the environmental concerns associated with metal toxicity. This work reviewed recent advances with respect to bioremediation mechanisms. Particular emphasis was placed on the heavy metal migration, transformation, and the key factors involved in algal wastewater treatment and biomass conversion. Additionally, the challenges of coupling algae wastewater treatment, hydrothermal conversion, and heavy metal control were addressed. Finally, a paradigm involving enhanced algal wastewater treatment and bioenergy production for field application was proposed.