Climate change, driven by rising atmospheric concentrations of greenhouse gases (GHGs) like carbon dioxide (CO₂), poses one of the most pressing environmental challenges today. Soil carbon sequestration emerges as a crucial strategy to mitigate this issue by capturing atmospheric CO₂ and storing it in soil organic carbon (SOC), thereby reducing GHG levels and enhancing soil health. Although soil is the largest terrestrial carbon sink, capable of storing between 1500 to 2400 petagrams (Pg) of carbon, the practical potential for SOC sequestration through regenerative practices is still widely debated. This review examines the biotic, abiotic, structural, physical, and chemical limitations that constrain soil carbon sequestration, along with the human dimensions that influence these processes. It explores the role of plant physiology, root architecture, microbial interactions, and environmental factors such as temperature and moisture in determining the efficacy of SOC sequestration. Furthermore, it discusses the potential of innovative strategies, including photosynthetic modifications, root system engineering, microbial bioengineering, and the application of advanced materials like C-capturing minerals, poly-carboxylic compounds, and nanomaterials, to enhance carbon capture and storage in soils. By providing a comprehensive understanding of these factors, this review aims to inform future research and policy development, offering pathways to optimize soil carbon sequestration as a viable tool for climate change mitigation.