Stem cell therapy is a promising approach for treating various ocular diseases, including glaucoma, cataracts, diabetic retinopathy, and retinal degenerative diseases. This review discusses the principles, progress, and challenges of using stem cells for regenerative treatment of ophthalmic diseases. Stem cells, such as embryonic stem cells (ESCs), induced pluripotent stem cells (iPSCs), mesenchymal stem cells (MSCs), and retinal progenitor cells (RPCs), have regenerative and malleable properties that make them valuable for tissue repair and regeneration. Stem cell therapy aims to restore ocular function by reconstructing damaged ocular tissues, either directly or through paracrine effects. However, challenges such as immune rejection, tumorigenesis, and ethical concerns remain. Current clinical trials are exploring various stem cell sources, including autologous and allogeneic cells, for treating conditions like limbal stem cell deficiency (LSCD), dry eye diseases (DED), keratoconus, and bullous keratopathy. For example, cultivated limbal epithelium transplantation (CLET) and simple limbal epithelial transplantation (SLET) have shown promising results in LSCD treatment. In dry eye diseases, MSCs have been used to reduce inflammation and improve tissue repair. For keratoconus, stem cell therapy aims to regenerate the corneal stroma. In glaucoma, stem cell therapy targets the trabecular meshwork to restore function. For retinal degenerative diseases, stem cell therapy focuses on replacing retinal pigment epithelium (RPE) and photoreceptor cells. Despite progress, challenges such as immune rejection, tumorigenesis, and the need for large-scale clinical trials remain. Future research should focus on optimizing stem cell sourcing, delivery, and integration, as well as improving evaluation and monitoring of stem cell therapy. The potential of stem cell therapy in treating ocular diseases is significant, offering new avenues for tissue regeneration, inflammation reduction, and neuroprotection.Stem cell therapy is a promising approach for treating various ocular diseases, including glaucoma, cataracts, diabetic retinopathy, and retinal degenerative diseases. This review discusses the principles, progress, and challenges of using stem cells for regenerative treatment of ophthalmic diseases. Stem cells, such as embryonic stem cells (ESCs), induced pluripotent stem cells (iPSCs), mesenchymal stem cells (MSCs), and retinal progenitor cells (RPCs), have regenerative and malleable properties that make them valuable for tissue repair and regeneration. Stem cell therapy aims to restore ocular function by reconstructing damaged ocular tissues, either directly or through paracrine effects. However, challenges such as immune rejection, tumorigenesis, and ethical concerns remain. Current clinical trials are exploring various stem cell sources, including autologous and allogeneic cells, for treating conditions like limbal stem cell deficiency (LSCD), dry eye diseases (DED), keratoconus, and bullous keratopathy. For example, cultivated limbal epithelium transplantation (CLET) and simple limbal epithelial transplantation (SLET) have shown promising results in LSCD treatment. In dry eye diseases, MSCs have been used to reduce inflammation and improve tissue repair. For keratoconus, stem cell therapy aims to regenerate the corneal stroma. In glaucoma, stem cell therapy targets the trabecular meshwork to restore function. For retinal degenerative diseases, stem cell therapy focuses on replacing retinal pigment epithelium (RPE) and photoreceptor cells. Despite progress, challenges such as immune rejection, tumorigenesis, and the need for large-scale clinical trials remain. Future research should focus on optimizing stem cell sourcing, delivery, and integration, as well as improving evaluation and monitoring of stem cell therapy. The potential of stem cell therapy in treating ocular diseases is significant, offering new avenues for tissue regeneration, inflammation reduction, and neuroprotection.