Digital twin (DT) technology is revolutionizing the construction industry by creating real-time digital replicas of physical assets, enabling enhanced monitoring, optimization, and decision-making. In Denmark, the integration of DTs aligns with national objectives for sustainability and digital innovation, supported by collaborative efforts among research institutions, government, and industry stakeholders. Despite significant progress, several challenges persist, including integrating diverse data sources, ensuring cybersecurity, and managing implementation costs. Addressing these barriers is critical to scaling DT adoption and maximizing its potential in construction applications. This paper anticipates significant advancements, such as AI-driven predictive analytics, integration with circular economy practices, and the establishment of open standards to ensure seamless interoperability. The findings demonstrate how Denmark’s DT initiatives are reshaping the construction landscape, offering practical insights into overcoming barriers and advancing sustainability goals. In conclusion, Denmark’s proactive adoption of DT technology serves as a blueprint for leveraging innovation to create smarter, more sustainable construction practices, setting a benchmark for global efforts in this domain.