β-Carotene serves as a precursor of vitamin A and provides relevant health benefits. To overcome the low bioavailability of β-carotene from natural sources, technologies have been designed for its encapsulation in micro- and nano-structures followed by freeze-drying, spray-drying, supercritical fluid-enhanced dispersion and electrospraying. A technological challenge is also to increase β-carotene stability, since due to its multiple conjugated double bonds, it is particularly prone to oxidation. This review analyzes the stability of β-carotene encapsulated in different dried micro- and nano-structures by comparing rate constants and activation energies of degradation. The complex effect of water activity and glass transition temperature on degradation kinetics is also addressed, since the oxidation process is remarkably dependent on the glassy or collapsed state of the matrix. The approaches to improve β-carotene stability, such as the development of inclusion complexes, the improvement of the performance of the interface between air and oil phase in which β-carotene was dissolved by application of biopolymer combinations or functionalization of natural biopolymers, the addition of hydrophilic small molecular weight molecules that reduce air entrapped in the powder and the co-encapsulation of antioxidants of various polarities are discussed and compared, in order to provide a rational basis for further development of the encapsulation technologies.