Herein, a facile, green and eco‐friendly approach has been applied for the synthesis of fluorescent green‐blue carbon dots (GB‐CDs) through the one‐pot hydrothermal treatment of Artocarpus lakoocha seeds for the first time and entirely characterized via a variety of instrumental techniques like fluorescent spectroscopy, Transmission Electron Microscopy (TEM), X‐Ray Photoelectron Spectra (XPS), X‐Ray diffraction (XRD) and Fourier Transform Infra‐red (FTIR) analysis. The as‐prepared GB‐CDs displayed high fluorescent quantum yield (QY) up to 38.5% and high photostability based on which GB‐CDs were successfully applied as a sensitive nanoprobe for the detection of Fe3+ ion. The sensing of Fe3+ shows a linear range from 2 to 6 μM and the limit of detection was found to be 0.62 μM. The sensing of Fe3+ was further investigated in the bona fide sample like river water and human blood serum. In addition, to explore the potential application, MTT assay was carried out on SH‐SY5Y neuroblastoma cells. The results showed negligible cytotoxicity as well as high cell viability, which revealed that GB‐CDs could be utilized as a fluorescent probe in living cells.