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The present study was aimed to synthesize silver nanoparticles (AgNPs) from the aqueous extracts of <i>Odontosoria chinensis</i> (L.) J. Sm. and the synthesized AgNPs were examined for their biopotentials. The <i>Odontosoria chinensis</i> extracts were added to 1 mM AgNO₃ solution with different ratios viz., 0.5:9.5, 1:9, 1.5:8.5 and 2:8 ratios for the reduction of Ag ions. After reduction, the AgNPs of <i>Odontosoria chinensis</i> were analyzed spectroscopically for further confirmation. The synthesized AgNPs of <i>Odontosoria chinensis</i> were characterized by pH, ultra violet–visible spectroscopy (UV-Vis), Fourier transform–infra red spectroscopy (FT-IR), scanning electron microscopy-energy dispersive X-ray analysis (SEM-EDAX) and X-Ray diffraction (XRD). The time taken for the complete reduction of Silver (Ag) in solution to nanoparticle was 10 min. The <i>O. chinensis</i> aqueous extracts mediated silver nanoparticles showed a broad peak with distinct absorption at around 400–420 nm and confirmed the silver nanoparticle formation. FT-IR results also confirmed the existence of organic materials in the silver nanoparticles of <i>O. chinensis</i>. The EDX spectra of AgNPs of <i>O. chinenesis</i> revealed the occurrence of a strong Ag peak. The synthesis of AgNPs of <i>O. chinenesis</i> was confirmed with the existence of a peak at 46.228°. The toxic potential of AgNPs of <i>O. chinenesis</i> showed varied percentage mortality with the LC₅₀ values of 134.68 μL/ 50 mL and 76.5 μL/50 mL, respectively. The anti-inflammatory and anti-diabetic activities of aqueous and AgNPs of <i>O. chinenesis</i> were statistically significant at <i>p</i> < 0.05 level. Conclusion: The results demonstrated the toxicity, anti-diabetic and anti-inflammatory potential of the studied AgNPs. The synthesized nanoparticles of <i>Odontosoria chinensis</i> could be tested as an alternative to anticancer, anti-diabetic and anti-inflammatory drugs.