Nanoliposome has been introduced for nanoscale bilayer lipid vesicles. These are the nano version of liposomes, having cell-specific targeting, required to achieve a desired drug concentration at the target site for optimum therapeutic efficacy, possibly by minimizing the adverse effects on healthy cells and tissues. Nanoliposomes possess impending applications in the fields of nanotechnology, e.g. cancer therapy, cosmetics, diagnosis, gene delivery, agriculture and food technology. Nano liposomes can be formulated by Sonication technique, Extrusion method, Emulsification evaporation method and Lipid layer hydration method. Authors have performed detailed patent and literature survey on PubMed, PubMed Central, Spingerlink and Elsevier based reviews and research articles on nanoliposomes. An attempt has been made to highlight the various formulation methods including the patented technologies, applications and characterization of nanoliposomes.