The purpose of this review is to investigate what digital practices are perceived as effective by literacy teacher educators. Specifically, this review addresses the following questions: (1) What digital practices are perceived to be effective by literacy teacher educators in their contexts; (2) how and why are those practices perceived to be effective; and (3) are there any patterns when comparing these practices across contexts? Eleven studies are reviewed. As a result, literacy teacher educators’ perceptions about effective practices are classified into six domains: (1) digital discussions for constructing core knowledge, (2) digital teaching videos for comprehensive curriculum and evidence-based instruction, (3) online case studies for literacy assessment, evaluation, and data-driven decision making, (4) online networks and digital texts for diversity and social justice, (5) online dialogues for co-construction of a dynamic, interactive literate environment, and (6) new, multimodal literacy practices and technology integration. This review concludes that, in digital environments, instructional practices based on a social constructive theory or student-centered models such as learning by doing, observing, and reflection are perceived to be more effective than teacher-centered models by literacy teacher educators.