The objective of this study was to produce bioactive peptides (BPs) from red garlic (Allium sativum L) using alcalase (120 min), and then spray-dry BPs using maltodextrin (MD) and its combination with gum Arabic (MD-GA), pectin (MD-P), alginate (MD-A), and whey protein concentrate (MD-WPC) as wall materials. The MD-WPC encapsulated red-garlic bioactive peptides (RGBPs) demonstrated the lowest hygroscopicity (∼18 %), the highest antioxidant activity retention (73 to 96 %), encapsulation yield (∼81 %), and functional properties, as well as enhanced flowability properties and a lighter color (L* value) compared to both free peptides and spray-dried RGBPs. Additionally, Fourier-transform infrared (FTIR) spectroscopy revealed covering the amide regions and functional groups of the peptides and trapping them inside the carrier matrix. Furthermore, morphology analysis (SEM) indicated the formation of wrinkled, indented particles with intact walls following encapsulation processing. Based on the study findings, pan breads were prepared using free (1 % w/w) and spray-dried BPs (SD-RGBPs) (1 %, 2 %, and 4 % w/w) with MD-WPC carrier. The evaluation encompassed their antioxidant activities (DPPH, ABTS, and OH radical scavenging), ACE-inhibitory, sensory attributes (color, chewiness, texture, flavor, overall acceptance), color properties (crust and crumb), and physicochemical characteristics (moisture content, water activity, compressive strength, porosity, specific volume) during storage. The results suggested that incorporating pan-breads with 2 % SD-RGBPs could serve as a viable strategy to uphold bread stability during storage while retaining bioactivity and enhancing consumer acceptance.