Community-based tourism represents one of the most significant forms of tourism currently practiced in numerous countries. The sustainable development of tourist destinations has long been recognized as a critical objective, requiring comprehensive planning and multifaceted analysis. Accordingly, the primary aim of the present study is to understand and analyze the strategic and pivotal role of community-based tourism in the sustainable development of tourist destinations. This applied research employs a qualitative methodology based on grounded theory. The principal research instrument consisted of semi-structured interviews conducted with 16 experts in tourism management, development studies, social sciences, sociology, and public administration, who were identified through purposive sampling. Theoretical saturation served as the stopping criterion for interviews. In accordance with Strauss and Corbin's systematic approach, the analysis initially identified 231 primary codes. Through inductive analysis, these were subsequently refined to 116 open codes, then 28 axial codes, and ultimately 5 selective codes. The research findings demonstrate that community-based tourism facilitates the formation of a tourism value chain. As a key strategy for sustainable development, it integrates ethical values, social justice, environmental sustainability, and economic growth to: Strengthen cultural identity and prevent the erosion of traditions; Reduce regional inequalities through sustainable employment and equitable income distribution; Establish a sustainable model for tourist destinations via participatory governance and environmental conservation. The study concludes that community-based tourism, when incorporating these multidimensional aspects, can serve as a transformative approach for destination development while preserving cultural heritage, protecting ecosystems, and promoting equitable economic benefits.