Unspecific peroxygenases (UPOs) are highly versatile biocatalysts capable of removing various persistent environmental contaminants and performing sustainable chemical transformations. These oxidoreductases contain heme b as their prosthetic group. As all classical peroxidases, they are activated by the molecules of hydrogen peroxide to incorporate the oxygen atom into numerous organic molecules. Alternatively, they can use ascorbate as a cosubstrate. In sequence databases an ever-increasing number of their DNA and protein sequences occurs. Reconstructed molecular phylogeny of the corresponding peroxidase-peroxygenase superfamily reveals a high diversity of gene distribution for UPOs in the whole kingdom of fungi. A majority of identified UPO sequences stems from numerous species of Dikarya. Although members of this superfamily were recently detected also in early diverging fungal lineages, UPOs from the phyla of Mucoromycota, Glomeromycota and Chytridiomycota remain not sufficiently investigated. Moreover, newly discovered genes coding for UPOs were recently identified also among early diverging eukaryotic lineages of amoebas and green algae in various biotops. With a large palette of potential substrates these oxidoreductases serve as a versatile tool in enzyme catalysed synthetic reactions, but their real physiological substrates need to be recognized in the future. Most important among self-sufficient UPO-catalysed reactions are oxyfunctionalizations of various aliphatic and aromatic molecules. In this critical review an outlook is given for investigation and engineering of novel UPO variants including products of directed evolution. Future research on UPOs shall be mainly focused on basal fungal and emerging non-fungal sources for their promising applications in environmentally friendly technologies.