In this work, we demonstrate optical functionalities obtained with CdTe nanocrystals embedded in polystyrene. These functionalities are based on our experimentally observed large, saturable, and controlled nonlinear optical properties of CdTe nanocrystals, in the case of strong quantum confinement and near resonant interaction with the excitation light. Our investigation considers the optical limiting functionality, presenting experimental proof of concepts. These types of functionalities are of special interest for integrated optical quantum dots devices with applications in imaging and telecommunications.