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Magnetic liquid metal (MLM) is a mixture of magnetic particles with gallium‐based liquid metals which utilizes an unconventional combination of fluidity, high thermal/electrical conductivity, biocompatibility, and magnetism. Recently, from materials to applications, studies on MLMs have drastically increased. Single or multiple MLMs can be precisely positioned or can act as a carrier for handling other objects. MLMs are also used in biomedical applications such as cancer treatment by hyperthermia and precision delivery of cancer drugs on tumors, or antibacterial coating which kills bacteria. In electronics applications, MLMs are used for magnetic field‐driven patterning of metallic lines, reconfigurable interconnects, electronic tattoos, and reconfigurable electromagnetic wave shielding. Phase change (solid/liquid) of MLMs adds another unique capability, morphing. A combination of innovations in the micro/nano robots and MLMs has huge potential to bring an unprecedented disruptive technology for a wide variety of applications including self‐morphing shape‐recovery robots, highly localized cancer treatment, and reconfigurable stealth/camouflage, among others. This article comprehensively reviews recent developments in MLMs from the materials to methods of preparation, locomotion of MLMs, their applications, and future outlooks.