AbstractDevelopment of useful products from toxic or hazardous waste is a unique strategy to overcome their disposal. In this work, we report the valorization of the toxic flowers of Thevetia peruviana (TP) into blue fluorescent nitrogen doped carbon dots (N‐CDs) with ∼6.6 % nitrogen doping from a single source of biomass without using any external dopant. The hydrophilic N‐CDs are biocompatible and show excitation‐dependent emission. Cytotoxity studies revealed the N‐CDs are selectively toxic towards the cancerous cells (DU‐145, MDA MB‐231, HepG2, and B16) but more biocompatible with normal CHO‐K1 and HEK‐293 cells. It has been observed that generation of reactive oxygen species in presence of N‐CDs cause DNA damage and the unrepaired cells undergo apoptosis in G2/M phase. To investigate the toxicity to normal cells, we further carried out in‐vitro and in‐vivo genotoxicity studies to reveal its non‐mitotoxic, non‐clastogenic, and non‐aneugenic properties.