Abstract <p>Production of wood-derived nanomaterials for biomedicine is being heralded as a novel avenue, benefitting from the sustainable and renewable aspect that accompanies all things wooden. With remarkable properties of highly mechanical strength, good biocompatibility and biodegradability features render these nanomaterials perfect candidates for various biomedical applications. This review emphasizes key progresses in drug delivery systems that have utilized these nanomaterials as nanocarriers for the targeted and sustained release of therapeutic agents, to amplify treatment efficacy but decrease side effects. Wood biomass–derived nanomaterials are also studied in tissue engineering for their prospective to fabricate scaffolds supporting cell growth and the regeneration of tissues, providing alternative avenues towards regenerative medicine (HMIC). Furthermore, the review discusses their implication in diagnostic for enhanced imaging and biosensing with early detection/diagnosis of diseases. These characteristics, combined with the realization of green chemistry and sustainable development principles in product design, signature ascendancy that ongoing demand for biomedical applications is environmentally sound technology. Incorporating concepts emanating from wood biomass–derived nanomaterials could meet such requirement trends, which are increasing day by day across the globe as it complies to both society demands. The advantages of these nanomaterials on different biomedical applications are highlighted in this comprehensive review, where each aspect demonstrates the potential ability to overcome existing limitations and gives outstanding examples with reliable influence for future research improvement as well. By exploring the complete knowledge of wood biomass–derived nanomaterials in biomedicine, this study review is expected to contribute a concise guideline about potentialities and pathways for future developments as well as can impactfully deliver their clinical applications into the health care system upon environmental sustainability.</p> Lay Summary <p>Wood-derived nanomaterials offer promising solutions for various biomedical applications due to their sustainability, strength, and biodegradability. These materials are excellent candidates for drug delivery systems, enabling more targeted treatments with fewer side effects. They also hold great potential in tissue engineering, where they can serve as scaffolds for tissue regeneration, and in diagnostics for early disease detection. The use of wood-based nanomaterials is aligned with green chemistry principles, promoting eco-friendly innovation. While their benefits are clear, further research is needed to overcome challenges such as large-scale production and safety validation before they can be widely used in healthcare.</p>