This paper explores the preparation of nanoparticles employing the herbal extract in the form of green chemistry that is environmental friendly. The problems inherent with conventional synthesis of nanoparticles, such as the use of extremely harsh chemicals and the intensity of the process, can be dealt with using the herbal-mediated synthesis that is free of costs, biocompatible and environmentally friendly. In this study, emphasis will therefore be made on the phytochemicals in the different medicinal plants (i.e. such as alkaloids, flavonoids, terpenoids and phenolics) used in the synthesis of nanoparticles, as reducing and stabilizing agents. The nanoparticles synthesized showed great antimicrobial, antioxidant, and anticancer activity, which illustrates a possible use as a biomedical agent. Advanced characterization through analytical methods used indicated stability, uniformity and nanometer dimensions. The comparative analysis of the already existing literature was done on the basis of highlighting the virtues of the green-synthesized nanoparticles in the aspects of its safety, eco-friendliness, and multifunctionality in therapeutic applications. The results help to increase the ever-evolving literature that suggests that herbal-based green synthesis mitigates the risk associated with environmental pollution and increases the pharmacological worth of nanoparticles. This paper has established that the green synthesized nanoparticles have potential uses within the realms of medicine, drug delivery and sustainable nanotechnology in the future.