This article discusses the current status of archaeological obsidian studies, including techniques used in characterization and sourcing studies, obsidian hydration, and regional syntheses. It begins with an overview of obsidian and the unique formation processes that create it before turning to a discussion of the significance of characterization and sourcing techniques for understanding prehistoric obsidian trade and exchange. It then considers the problematic aspects of the term “sourcing,” despite its ubiquitous use in archaeology and archaeometry, along with the use of X-ray fluorescence in the chemical characterization of obsidian. It also explores obsidian hydration dating methods and equations, factors that can affect the date assignments for hydration specimens, and the various uses of obsidian in prehistoric times. Finally, it addresses some important questions relating to obsidian research and suggests new directions in the field.