Current progress in plant genomics has uncovered important roles of transposable elements (TEs) in gene regulation and has transformed their perception from 'junk DNA' to key genomic players. Recent advances show how stress conditions trigger TE mobilization, introducing new regulatory sequences that can reshape plant responses to environmental changes. This review explores our current knowledge of how TEs, especially those located in gene-rich regions of plant genomes, regulate gene expression at different mechanistic levels. We highlight recent findings on how these elements influence transcriptional and epigenetic modifications as well as chromatin organization, and thus contribute to phenotypic diversity and plant adaptation. Understanding the regulatory potential of TEs creates novel opportunities for crop improvement and biotechnological applications, leading to a new hope for sustainable agriculture and innovation.