Soybean and its products (soymilk or its powder, fresh or dried tofu, soybean oil, soy flour, soy sauce, and bean sprouts) are liked in Asian countries. Every year soybean processing produces bulk waste in the form of okara. Soybean waste (okara) has good nutritional, microbial, and functional properties. 1kg of soybean processing produces 1.1 kg of okara which is discarded. This bulk amount of waste may cause environmental pollution which produces health problems. Okara (soybean waste) has a good nutritional and phytochemical profile as well as microbial properties, therefore it is safe for human consumption. Okara has many health endorsing properties which make it suitable for the development of various functional foods. Current review, discussed prebiotic, nutritional, and bioactive properties of okara. Okara is effective in prevention of diabetes, obesity, cancer, hypertension, and decrease triglyceride and improve cognitive performance. Consiuviley, okara has potential for the development of various types of bakery and beverage-based foods.