Nanotechnology has recently emerged as a transformative tool in plant biotechnology. It shows substantial potential in refining in vitro culture systems, particularly callus induction and plant regeneration. Oryza sativa, due to its agronomic relevance and extensive genomic resources, serves as an ideal model for studying the mechanistic roles of nanoparticles in callus induction. This review summarizes recent advances on how engineered nanoparticles influence transcriptional regulation, hormone‑mediated signaling, cell‑cycle dynamics, and redox homeostasis during callus formation in rice. Increasing evidence suggests that metallic and metal oxide nanoparticles, such as AgNPs, ZnO-NPs, FeO-NPs, and CuO-NPs, modulate the expression of auxin-responsive and other regulatory genes, thereby reprogramming somatic cells toward a pluripotent state. Nevertheless, indiscriminate exposure to nanoparticles may cause oxidative stress, genomic instability, DNA damage, and epigenetic alterations. These effects collectively raise important biosafety concerns. The physicochemical attributes of nanoparticles, encompassing type, size, dosage, and surface chemistry, critically determine their biological interactions and functional outcomes. Collectively, while nanoparticles constitute promising modulators of molecular pathways underlying rice Callus Induction, their safe and targeted deployment necessitates comprehensive nanotoxicological evaluations within a biosafety framework.