Steel is prone to corrosion induced by chloride ions, which is a serious threat to reinforced concrete structures, especially in marine environments. In this work, we report a novel capsule-based selfrecovery system that utilizes chloride ions as a trigger. These capsules, which are functionalized via a smart response to chloride ions, are fabricated using a silver alginate hydrogel that disintegrates upon contact with chloride ions, and thereby releases the activated core materials. The experimental results show that the smart capsules respond to a very low concentration of chloride ions (0.1 wt%). Therefore, we believe that this novel capsule-based self-recovery system will exhibit a promising prospect for self-healing or corrosion inhibition applications.