This chapter “Nanotextiles for Sustainability and Circular Economy” delves into how nanotechnology has been bringing about a significant change in the paradigms of sustainability in the textile industry which are also in tune with the principles of the circular economy. In addition, it presents models for environmentally conscious production and discusses future trends in nanotextile waste. This chapter discusses the benefits of circular design approaches—closed-loop production and upcycling of materials—to reduce waste and increase the use of renewable resources. Examples of case studies demonstrate the translation of nano-enabling sustainable solutions in industries and how regulatory issues and consumer acceptability on these novel solutions are pursued. It is envisaged in this chapter that while these technologies remain innovative and that, while sustainable practices are developed, in the future itself, nanotextiles would bring the shift to the regenerative and eco-friendly textile industry.