EEGLAB is a MATLAB-based software that is widely used for EEG signal processing due to its complete features, analysis flexibility, and active open-source community. This review aims to evaluate the use of EEGLAB based on 55 research articles published between 2020 and 2024, and analyze its prospects and limitations in EEG processing. The articles were obtained from reputable databases, namely ScienceDirect, IEEE Xplore, SpringerLink, PubMed, Taylor & Francis, and Emerald Insight, and have gone through a strict study selection stage based on eligibility criteria, topic relevance, and methodological quality. The review results show that EEGLAB is widely used for EEG data preprocessing such as filtering, ICA, artifact removal, and advanced analysis such as ERP, ERSP, brain connectivity, and activity source estimation. EEGLAB has bright prospects in the development of neuroinformatics technology, machine learning integration, multimodal analysis, and large-scale EEG analysis which is increasingly needed. However, EEGLAB still has significant limitations, including a high reliance on manual inspection in preprocessing, low spatial resolution in source modeling, limited multimodal integration, low computational efficiency for large-scale EEG data, and a high learning curve for new users. To overcome these limitations, future research is recommended to focus on developing more accurate automation methods, increasing the spatial resolution of source analysis, more efficient multimodal integration, high computational support, and implementing open science with a standardized EEG data format. This review provides a novel contribution by systematically mapping EEGLAB’s usage trends and pinpointing critical technical and methodological gaps that must be addressed for broader neurotechnology adoption.