In recent years, the tribology field has expanded with the advent of nanolubrication. Nanolubricants are the name given to the dispersion of nanoparticles in a base oil, and has attracted researchers due to its potential application. In addition to being used in the tribology field, nanoparticles are also used for medical, space, and composites purposes. The addition of nanoparticles in base oils is promising because it enhances specific tribological characteristics including wear-resistance and friction, and the most important reason is that the majority of them are environmentally friendly. This paper reviews the tribological effect of various nanoparticles as lubricant additives. Parameters of nanoparticles that affect tribological performance, the technique to enhance stability, and lubrication mechanism that is currently believed to function will be delineated in detail. Moreover, this review facilitates an understanding of the role of various nanoparticles, which helps in developing and designing suitable nanolubricants for various applications.