The Labyrinth in the story of Theseus and the Minotaur holds significant symbolism. Built by Daedalus, it serves as a complex prison for the Minotaur, representing the struggle between humanity and monstrous forces. Theseus’s journey through the Labyrinth symbolizes the quest for identity and courage. His successful navigation and defeat of the Minotaur signify the triumph of reason, heroism, and the importance of strategy in overcoming life's challenges.