Nanomedicine is a medical application of biochemistry incorporated with materials chemistry at the scale of nanometer for the purpose of diagnosis, prevention, and treatment. New models and approaches are typically associated with nanomedicine for precise multifunctional diagnostic systems at molecular level. Hence, employing nanoparticles (NPs) has unveiled new opportunities for efficient therapies and remedy of difficult-to-cure diseases. Among all types of inorganic NPs, lanthanide-doped up-conversion nanoparticles (UCNPs) have shown excellent potential for biomedical applications, especially for multimodal bioimaging including fluorescence and electron microscopy. Association of these visualization techniques plus the capability for transporting biomaterials and drugs make them superior agents in the field of nanomedicine. Accordingly, in this review, we firstly presented a fundamental understanding of physical and optical properties of UCNPs and secondly, we illustrated some of the prominent associations with bioimaging, theranostics, cancer therapy, and optogenetics.