Most binders that are used for pavement materials are derived primarily from fossil fuels. Bio-binder is an asphalt binder alternative made from non-petroleum-based renewable resources, which should not rival any food material, and have environmental and economic benefits. The development of bio-based materials is consistent with the principles of Green Chemistry and Engineering, which pertain to the design, commercialization, and use of processes and products that are technically and economically feasible while minimizing the generation of pollution at the source and the risk to human health and the environment. Lignin is the second most abundant natural polymer surpassed only by cellulose; millions of tons of lignin are produced from the pulp and paper industry annually, however very little amount of it has been transformed into value-added bioproducts. More than 50 million tons of lignin is generated from the pulp and paper industry annually, but only 2% of this waste has been utilized. Lignin is natural polymer that reflects the structure of bitumen and therefore it could be used as suitable modifier for bitumen. The aim of the research is innovative use of lignin-based modifier FKL (fractionated Kraft lignin) for development of "bio-binders" with enhanced performance at high and low temperatures as well as antioxidant properties. Optimal percentages of crude oil bitumen and FKL as well as technological parameters for manufacturing of bituminous binder compositions were determined based on rheological, physical and mechanical characteristics. Substitution of bitumen with FKL has been carried out up to 60%.