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In recent times, carbonbased nanomaterials (CNMs) like graphene, graphene oxide (GO), graphene nanoplatelet (GNP), carbon nanotubes (CNTs), carbon dots (CDs), and fullerenes are among the most promising nanomaterial due to their extraordinary physiochemical, electrical, optical, mechanical, and thermal behavior. CNMs have many potential applications, including energy storage and conversion, biomedical, catalysts, composites, and biomaterials. Nonetheless, many advanced applications require the proper functionalization of CNMs. This chapter analyses the routes for CNMs functionalization and their impact on their structure and properties. Furthermore, the current and potential application of functionalized CNMs are discussed, and the challenges and future research directions are highlighted.