Cold plasma is an emerging technology that has increased in demand because of consumers’ desire for fresh, safe and minimally processed food products. Aflatoxin B1 is one of the main mycotoxins that is usually found in cereals, especially oats. This study was conducted to determine the effect of DBD cold plasma on aflatoxin B1 and the physicochemical characteristics of oats. Whole oat grains were subjected to DBD plasma treatment for 1, 3, and 6 min at powers of 32, 37, and 42 W. Untreated samples were also evaluated as controls. The results showed that DBD treatment had the greatest reduction in 6 min and power 37, which reduced AFB1 concentration by 82%. Furthermore, there was no significant difference for some qualitative parameters such as protein and pH compared with the control sample, whereas the peroxide value and β-glucan increased and alpha-tocopherol decreased. The farinograph test showed that the improvement in water absorption capacity, dough stability, dough development time, and the degree of softening decreased. In addition, the viscosity of treated sample was reduced compared with that of the control sample. This study showed that DBD plasma had an effective reduction in aflatoxin AFB1, and it also improved the technological properties.