Nanotechnology involves manipulating matter at the nanoscale to create new materials and devices. At the nanoscale of 1-100 nanometers, materials exhibit novel optical, mechanical, and electrical properties. Nanomedicine uses nanotechnology for drug delivery, diagnostics, and tissue engineering. Some benefits of nanomedicine include more targeted drug delivery to reduce side effects, multifunctional nanoparticles that can deliver drugs, target cells, and enable imaging, and potential uses like artificial blood cells. Challenges include interactions with the immune system, tracking nanoparticles in the body, and developing safe and effective medical nanorobots.