Abstract: This manuscript briefly reviews the extensive research as well as new developments on chitosan based nanomaterials for various applications. Chitosan is a biocompatible and biodegradable polymer having immense structural possibilities for chemical and mechanical modification to generate novel properties and functions in different fields especially in the biomedical field. Over the last era, research in functional biomaterials such as chitosan has led to the development of new drug delivery system and superior regenerative medicine, currently one of the most quickly growing fields in the area of health science. Chitosan is known as a biomaterial due to its biocompatibility, biodegradability, and non-toxic properties. These properties clearly point out that chitosan has greater potential for future development in different fields of science namely drug delivery, gene delivery, cell imaging, sensors and also in the treatment as well as diagnosis of some diseases like cancer. Chitosan based nanomaterials have superior physical and chemical properties such as high surface area, porosity, tensile strength, conductivity, photo-luminescent as well as increased mechanical properties as comparison to pure chitosan. This review highlights the recent research on different aspect of chitosan based nanomaterials, including their preparation and application.