Functionalized nanomaterials (FNMs) provide a new plan for novel scientific- and research-based innovations. FNMs are novel materials accompanied by highly developed features for better usage versus conventional materials and offer many chances to improve modern instruments and a novel branch of science. FNMs present extraordinary beneficial properties. They have attracted much research interest, but their application on an industrial scale is still in the initial stages. FNMs provide a possibility to build inexpensive and more impressive customer products as well as factory operations. FNMs have a significant position in high-tech technologies, which make them economically effective and comparable with their traditional counterparts. Membrane technology is one of the most vital technologies that takes advantage of the many benefits of FNM for its maturity. Development of sustainable membranes through the implementation of FNMs makes it possible to control physicochemical features of the membranes in various separation processes more effectively. Moreover, FNMs can offer an opportunity to overcome some of the limitations and problems of common membrane materials like the permeability-selectivity trade-off. This chapter presents a review of the novel and sustainable progress of FNMs in membrane technology. The evolution and latest advancements of membranes with FNMs as well as their future perspective will be discussed.