Integrating artificial intelligence (AI) with nanomedicine is transforming Theranostics, driving advances in biosensing, bioimaging, genomics, diagnostics, and treatment. This review highlights the latest advancements in AI-driven nanomedicine, focusing on its transformative impact on healthcare. AI-integrated biosensors offer ultra-sensitive, real-time biomaterial detection, reducing false positives by 40 %. In bioimaging, AI algorithms improve resolution to 10 nm, particularly in gold nanoparticles (AuNP)-based imaging. AuNPs, leveraging surface plasmon resonance (SPR), act as contrast agents for early disease detection. AI accelerates genomic analysis, increasing sequencing accuracy by 30 %, enhancing biomarker identification for personalized medicine. AI powered diagnostics ensure rapid, non-invasive pathogen detection within 30 min with 95 % accuracy. AI-driven drug delivery systems enable precise, controlled release, reducing side effects by 20 %. This review explores AI-enhanced AuNPs in biosensing, bioimaging, genomics, diagnostics, and therapy while addressing challenges like scalability, biocompatibility. AI's role in Nanomedicine underscores its potential to revolutionize personalized medicine and future healthcare innovations.