Carbon-based nanomaterials have a small size with a range between one to hundred nanometers. The unique structure has made them capable of incorporating highly specialized groups, thereby modifying their attribute and making them suitable for environmental sensing. They showcase unique mechanical, chemical, and electrical possessions, thereby exploring their capacity to develop highly sensitive sensors. The advent of recent technology has made these carbon nanomaterials capable to sequester and tackle water pollution. Therefore, in this chapter a detailed study has been done to interpret about the nature of carbon nanomaterials, followed by their types. The study has also included the impact of carbon nanomaterials upon environment that has included plant life, animal life, and aquatic life, and has also highlighted the applications of carbon nanomaterials.