Abstract Background The development of an environment-friendly nanomaterial with promising antimicrobial and antioxidant properties is highly desirable. The decolorization potentiality of toxic dyes using nanoparticles is a progressively serious worldwide issue. Methods The successful biosynthesis of zinc nanoparticles based on phosphates (ZnP-nps) was performed using the extracellular secretions of Aspergillus fumigatus. The antibacterial activity of the biosynthetic ZnP-nps was investigated against Gram-negative bacteria and Gram-positive bacteria using the agar diffusion assay method. The antioxidant property for the biosynthetic nanomaterial was evaluated by DPPH and H₂O₂ radical scavenging assay. Results Remarkable antibacterial and antiradical scavenging activities of ZnP-nps were observed in a dose-dependent manner. The minimum inhibitory concentration (MIC) for Staphylococcus aureus, Pseudomonas aeruginosa, and Escherichia coli was 25 µg/ml, however, the MIC for Bacillus subtilis was 12.5 µg/ml. The maximum adsorptive performance of nanomaterial was respectively achieved at initial dye concentration of 200 mg/L and 150 mg/L using methylene blue (MB) and methyl orange (MO), where sorbent dosages were 0.5 g for MB and 0.75 g for MB; pH was 8.0 for MB and 4.0 for MO; temperature was 30 °C; contact time was 120 min. The experimental data was better obeyed with Langmuir’s isotherm and pseudo-second-order kinetic model (R² > 0.999). The maximum adsorption capacity (q_max) of MB and MO dyes on nanomaterial were 178.25 mg/g and 50.10 mg/g, respectively. The regenerated nanomaterial, respectively, persist > 90% and 60% for MB and MO after 6 successive cycles. The adsorption capacity of the prepared zinc phosphate nanosheets crystal toward MB and MO, in the present study, was comparable/superior with other previously engineered adsorbents. Conclusions Based on the above results, the biosynthesized ZnP-nanosheets are promising nanomaterial for their application in sustainable dye decolorization processes and they can be employed in controlling different pathogenic bacteria with a potential application as antiradical scavenging agent. Up to our knowledge, this is probably the first study conducted on the green synthesis of ZnP-nanosheets by filamentous fungus and its significant in sustainable dye decolorization.