Serverless computing is transforming the way cloud applications are developed and managed. It allows developers to concentrate on writing code without the burden of managing servers, scaling, or infrastructure. This review paper examines how serverless has evolved, its fundamental concepts, and its current status in both research and real-world applications. We assess its advantages, such as automatic scaling and cost-effectiveness, while also addressing its challenges—like cold start delays, limited support for stateful applications, and debugging complexities. By analyzing various research papers and practical case studies, we underscore what functions effectively and what requires further enhancement. The paper additionally explores future directions that could enhance serverless's reliability, efficiency, and applicability to a broader array of applications. In summary, this review provides a comprehensive overview of the future of serverless computing and the necessary steps for it to dominate the cloud.