The potential of surfactants has been harnessed to fulfill human purposes for a long time. Biosurfactants are one of the promising bioactive molecules, produced by microorganisms, and subjected to intense research due to their chemical structure, diverse applications, and eco-friendly nature. Nanobiotechnology is an emerging scientific domain, encompassing various sectors like agriculture, medicine, bioremediation, food technology, etc. The discovery of biosurfactant coated nanoparticles has marked a breakthrough in the field of scientific research due to its cost-effectiveness and low toxicity nature. The present review emphasizes the role of discovered biosurfactants in nanoparticle synthesis and its application in the broad arena of nanotechnology and environment concerning issues.