Microencapsulation is a process in which tiny particles or droplets of a substance are surrounded by a coating material. In the context of sustained-release caffeine, microencapsulation is employed to encapsulate caffeine particles, allowing for a controlled and gradual release of the caffeine over time.

The microencapsulation of caffeine allows for a sustained release of the active ingredient. As the coated microcapsules gradually break down, caffeine is released in a controlled manner over an extended period. This contrasts with immediate-release formulations, where caffeine is rapidly absorbed, leading to a quicker onset and potentially more abrupt decline in its effects.