Developing and applying integrated CO2 capture-hydrogen conversion technology is a key strategy for coping with climate changeand achieving carbon peaking and carbon neutrality. Dual functional materials with adsorption and catalytic components are the core technology. In this paper, the main work of the principal national and international research institutions were summarized systematically onsynthetic methods, adsorption properties, reaction kinetics, promotion mechanisms, deactivation mechanisms, and applications of dualfunctional materials for CO2 capture using in-situ methanation and in-situ reverse water gas shift technologies. An overview of the principal national and international research institutions′latest progress on CO2 capture-hydrogenation conversion was provided. DFMs are composites with both catalytic and adsorption components. In the selection of catalytic components, noble metal catalysts are highly active butexpensive, while Ni-based catalysts are less costly but less reducible and prone to deactivation in oxygen-containing atmospheres. In theselection of adsorption components, metal oxides (e.g., CaO, MgO) and alkali metal carbonates (e.g., Na2CO3, K2CO3) are the mostpromising adsorption components due to their high theoretical adsorption capacity, especially MgO and CaO, although they face the challenges of poor actual adsorption capacity and poor cyclic stability. Current studies have focused on enhancing the actual adsorption capacityof MgO by doping with alkali metal molten salts, and improving the cycling performance and sintering resistance of CaO adsorbents by doping with metal additives (e.g., La, Co, Fe, etc.). Kinetic studies have shown that the reaction rate is highly dependent on the H2 partialpressure and that the average CH4 yield can be increased by adjusting the timing of adsorption and catalysis. ICCU technology shows promising applications, especially in key areas such as iron and steel, energy, and chemicals. However, a comprehensive assessment of the environmental impact of the technology, especially from a life cycle assessment (LCA) perspective, is essential for a full understanding ofthe environmental sustainability of ICCU technology and its contribution to carbon reduction. In the future, through continuous researchand technological innovation to solve the existing challenges, ICCU technology is expected to achieve significant results in industrializedapplications and make important contributions to global carbon emission reduction.