In this paper, we are addressing the development of new composition (60%SiO₂-30%CaO-10%P₂O₅) of biodegradable and biocompatible bioglass (nBG) nanoparticles. The bioglass nanoparticles have been fabricated by sol-gel method. To get functionalized bioglass nanoparticles, they were treated with lysozyme (1 mg/mL) for 48 h. Morphology of nanoparticles, such as structure, particle size, and surface topography were studied by TEM. Bioglass nanoparticles generate hydroxyapatite layer when nanoparticles treated with simulated body fluid (SBF) for 7 days. The presence of bioglass and hydroxyapatite phases confirmed by XRD. TEM images revealed irregular shaped with slightly agglomeration of nanoparticles in nanometer range (200 to 500 nm). The in-vitro biodegradation of nanoparticles was confirmed by weight loss in the presence of SBF. The cytotoxicity effects and cell proliferation of respective sample were investigated through MTT assay. BET results revealed average surface area (10.4 m²/g) of nanoparticles. The nano range of particles will provide better surface to volume ratio over micro or macro particles which makes them more effective so they are often able to react rapidly.