Over the past decade, carbon quantum dots (CQDs) and graphene quantum dots (GQDs) have emerged as the supreme category of zero‐dimensional (0D) carbonaceous nanostructures having potential applications in energy storage and optoelectronics devices. These zero‐dimensional carbon nanostructures have captivated excellent consideration and have ascended as a substitute to traditional metal‐based semiconductor QDs due to their intriguing estates like excellent photoluminescence, quantum yield, scalability, tuneable emission, biocompatibility, chemical inertness, and excellent hydrophilicity. These unique properties of zero‐dimensional carbon materials have inspired researchers to employ them in bioimaging, optoelectronic, catalytic, and energy storage applications. The last couple of years have perceived an incredible rise in the green synthetic strategies of carbon‐based QDs and their applications and this review familiarizes the reader with the current and significant progress in the synthesis of carbon‐based QDs/GQDs from various natural precursors with their quantum yields as well as intriguing applications in diverse fields. In addition, this communication not only delivers critical perceptions toward the development in the field of advanced energy devices but also highlights the advancements of these nanosized carbonaceous materials in the energy storage devices such as in supercapacitors and batteries. Also, it focuses on the broad scope of carbon nanomaterials and nanotechnology towards cutting‐edge research and expansion in the arena of energy storage applications of carbon‐based QDs.