Global fish processing industries dispose of fish wastes that account for more than 60% of processed fish biomass. In lieu of environmental pollution and disposal problems, these wastes are used to produce fish silage, fishmeal and sauce. They are also utilized for the production of value added products such as proteins, hydrolysates, bioactive peptides, collagen and gelatin. Research on the production of fish protein hydroysates (FPHs) presently focuses on maximizing the industrial potential of fish wastes. Since bioactive peptides containing amino acids hold properties of great interest, this paper reviews current research on the functional and bioactive properties of FPHs with an additional focus on gaps between fish and other hydrolysates, as well as current and future trends for the productive utilization of FPHs.