Nanoscience is the branch of science pertaining to the study of minute particles on an atomic or molecular scale, whose size is measured in nanometers. A nanometer represents one billionth of a meter (i.e., 10-9 m). Nanotechnology is an emerging branch of engineering that involves the use of particles on a nanoscale (1-100 nm). Thus, the application of nanotechnology in the field of dermatology is the Nanodermatology. Nanodermatology represents one of the most emerging fields for which an increasing interest is rising among scientists as well as pharmaceutical companies. Nanotechnology has revolutionized the treatment of several skin diseases. It is effective in targeted delivery of active medicaments and cosmetic ingredients. The skin forms the first point of contact for a diverse number of nanomaterials. Nanomedicine in dermatology has opened a new era in the diagnosis and treatment of various skin disorders. Possible applications of nanotechnology in dermatology and cosmetics include sunscreens, moisturizers, anti-aging formulations, phototherapy, ani-sepsis, vaccines, skin cancers, hair and nail care, etc. In this review after an introduction of nanotechnology, author has described various types of nanoparticles followed by various possible indications of nanotechnology in dermatology and cosmetics. An account on safety of nanoparticles has also been added to the review.