Transfer of the medicament to blood stream through skin especially macromolecules has always been a challenge for formulator. The major limitation of conventional topical applications is obstacle nature of skin that stops the entry of majority of drugs. To improve the poor penetration of drug molecules, few physical and chemical procedures have been tried and tested to beat the boundary of the stratum corneum to get higher transdermal penetrability but those are either painful or economically limited. To overcome the limitation of conventional process, modern technology has been evolved to weaken the skin barrier of stratum corneum layer i.e, elastic or deformable or flexible type of lipid vesicles those are capable of delivering the wide range of active moieties including various biomolecules called ultra- deformable liposomes or elastic nanovesicles such as, transfersomes and ethosomes. Lipid vesicles are colloidal molecules have novel bilayer structure and efficient for entrapping all types of drugs like hydrophilic charged, water loving, lipid loving or both. Transfersomes and ethosomes are two novel lipid based nano carriers and can easily penetrate through intercellular spaces of skin. In present review we have discussed their comparative features, composition, mechanism of permeation, manufacturing technology, characterization and applications with various therapeutic agents. This review mainly focuses on many of the current molecules that are being tried to deliver via these carriers, clinical trial studies and patents accessible on transfersomal and ethosomal products.