The inclusion of engineered nanoparticles (NPs) in a large number of consumer products and their potential use for medical purposes leads to an urgent need for designing and establishing toxicity assessment protocols that allow for obtaining information on potential harmful effects of NPs at cellular and organism levels (in vitro and in vivo experiments, respectively). For defining the toxicological profile of NPs, exhaustive characterization studies are firstly needed in order to correlate the observed biological response with well‐characterized NPs. This article summarizes the key aspects about NP characterization to be considered in any toxicological study. Characterized NPs are then assayed by in vitro toxicity screening tests based on cell culture systems, existing numerous available testing platforms whose choice depends on the cellular effect to be analyzed. For further corroboration of the effects reported on cell lines, in vivo experiments are finally conducted on experimental animals where investigation about pharmacokinetics provides a better understanding on biological behavior of NPs, creating more realistic scenarios for risk assessment. This article describes the most commonly used analytical strategies for in vitro and in vivo nanotoxicity assessment. A final section is also included for setting the reader in a context on challenges and future prospects in nanotoxicity.