Nanopesticides have emerged as an innovative approach for sustainable crop protection by improving pesticide delivery, increasing biological efficacy, and minimizing environmental pollution. Compared with conventional pesticides, nanopesticides provide controlled release, enhanced stability, improved target specificity, and reduced chemical losses. Various formulation strategies, including nanoemulsions, polymeric nanoparticles, liposomes, and inorganic nanocarriers, have significantly enhanced the performance of pesticide active ingredients while reducing application frequency. Nanopesticides also support integrated pest management and precision agriculture by improving pest control efficiency and reducing adverse effects on non-target organisms. Despite these advantages, concerns regarding nanoparticle toxicity, environmental persistence, food safety, and regulatory approval remain major challenges for commercialization. This review summarizes recent developments in nanopesticide formulation strategies, biological efficacy, agricultural applications, regulatory issues, and prospects for sustainable crop protection.