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2 dimensional (2D) materials are budding new class of materials with exciting potential in optical, electrical, chemical and biomedical applications. Inspired by the attractive properties of graphene attributing to its 2D structure has stimulated researchers to hunt for new 2D materials. Unique characteristics like high surface-volume ratio, shape, surface charge, anisotropic nature and tunable functionalities of 2D structures opens up its application scope further. 2D materials have marked their impact on a wide range of area notably material science, optoelectronics, engineering and biomedical science. Currently, researchers are focusing on developing new 2D materials and functionalizing 2D materials to achieve desired properties. This review underlines the recent renovations done to 2D materials so as improve its functionality and biocompatibility. Growing trend towards exploring the potential of 2D materials for biomedical applications including targeted drug delivery, imaging, photothermal therapy, tissue engineering and regenerative medicine emphasize the need to consider its biosafety. Large surface area of 2D materials increases chances of exposure of these materials towards cells which in turn shoots up the possibility for cellular interactions augmenting chances of potential toxicity. The present review concludes that the 2D materials are promising choice for next generation biomedical device development.