Over the last few years, it's become one of the world's top destinations for travellers searching for unique thrill-seeking adventures.
Resting at the edge of the Arctic Circle, you'll find active volcanoes, hot springs, giant glaciers and jaw-dropping scenery.
Here are five of Iceland's must-see natural attractions that deserve a spot on your itinerary!
1. Blue Lagoon
Located 40 minutes from Reykjavik city centre, is one of Iceland's top tourist attractions.
The Blue Lagoon is a natural geothermal spa and is the only place in the world where you can swim in 40°C water all year round.
It's believed that the waters and mud are highly beneficial for your health and skin.
But even if you don't believe the hype, it's hard to deny the beauty of the area. Set against an icy backdrop of with aquamarine waters, taking a dip here is a once in a lifetime experience.
2. The Northern Lights
Plan your trip between late September and early April if you're determined to see the natural phenomenon, Aurora Borealis, with your own eyes.
Caused by particles becoming ensnared in the Earth's magnetic field, the bursts of energy light up the night's sky with beautiful colours.
While there is no guarantee you'll see the Northern Lights, there are apps to help you predict when the best time is to go. But if you want to up your chances, head north and stay in one of Iceland's more remote places to avoid any light pollution from the city.
3. Skaftafell Ice Cave
Hidden inside the vast Vatnajokull National Park, is Iceland's magnificent Skaftafell Ice Cave.
You can only visit this natural attraction during the winter months. The heavy rains wash the top layer of the glacier away and seen at the right time of day, the cave is filled with a spectacular blue light.
Book a group tour and go on an expedition inside the cave. It's a unique experience for adventurous travellers, and you'll be able to walk through a memorising ice tunnel.
4. Dettifoss Waterfall
Another top Iceland attraction inside Vatnajokull National Park is the Dettifoss Waterfall.
It's the most powerful waterfall in Europe and plunges down 45 meters into the river below.
If you want to explore this natural wonder, it's best to park your car on the east side of the River Jokulsa.
From there, you can follow the footpaths to Dettifoss and take in its raw power with your own eyes.
5. Landmannalaugar
Surrounded by rhyolite mountains, lava fields and one of Iceland's most active volcanoes, a trip to Landmannalaugar National Park will not disappoint.
Explore the region on the back of an Icelandic horse or tackle one of the many hiking routes. The park is famous for it's five-day Laugavegur trail that winds past hot springs, black sand deserts and the icy glacier caps.
If you want more time to explore, you can spend the night at the mountain lodge which can accommodate 75 people or set up your tent at one of the camping sites.
Which one of these Iceland natural attractions are you dying to see?
