Abstract In the present work, amine-functionalized nanodiamonds (NDs) have been encapsulated in liposomes and studied in order to observe the modification of their photoluminescence properties. NDs were functionalized with aromatic amines such as 1-aminopyrene and 2-aminofluorene, and the aliphatic amine 1-octadecylamine. Morphology, structural and optical properties of NDs and amine-modified NDs were analyzed by transmission electron microscopy, atomic force microscopy, scanning electron microscopy, and photoluminescence. The amine-functionalized NDs were successfully encapsulated in lecithin liposomes prepared by the green and conventional methods. The obtained results show significant changes in photoluminescent properties of functionalized NDs, and were more potentialized after liposome encapsulation. Our findings could be applied in the development of new kinds of water-dispersible fluorescent hybrids, liposome-NDs, with the capability of drug encapsulation for use in diagnostics and therapy (theragnostic liposomes). All-optical sensors with possibilities for tailoring their response for other biomedical applications can be also contemplated.