Nanoparticles possess fascinating properties and applications, and there has been increasing critical consideration of their use. Because carbon is a component with immaterial cytotoxicity and extensive biocompatibility with different components, carbon nanomaterials have a wide scope of potential uses. Carbon nanodots are a type of carbon nanoparticle that is increasingly being researched because of their astounding properties such as extraordinary luminescence, simplicity of amalgamation and surface functionalization, and biocompatibility. Because of these properties, carbon nanodots can be used as material sensors, as indicators in fluorescent tests, and as nanomaterials for biomedical applications. In this review, we report on the ongoing and noteworthy utilization of carbon quantum dots such as bioimaging tests and photocatalytic applications. In addition, the extension and future components of these materials, which can be investigated for new potential applications, are discussed.