Optically-activated particles for use in cosmetic preparations. The optically-activated particles include a plurality of substrate particles selected from the group consisting of nylons, acrylics, polyesters, other plastic polymers, natural materials, regenerated cellulose, metals and minerals; an optical brightener chemically bonded to each of the plurality of substrate particles to form integral units in the form of optically-activated particles for diffusing light to reduce the visual perception of skin imperfections, including cellulite, shadows, skin discolorations, and wrinkles; and each of the optically-activated particles are encapsulated with a UV transparent coating to increase the diffusion light to further reduce the visual perception of the skin imperfections. The encapsulated optically-activated particles are able to absorb ultraviolet radiation and emit visible light; and the encapsulated optically-activated particles are able to both scatter and absorb light in a diffuse manner in order to reduce the visual perception of skin imperfections, including cellulite, wrinkles, shadows, and skin discolorations, when the optically-activated particles are applied to the skin surface. The encapsulated optically-activated particles are used in the making of cosmetic preparations such as skin lotions, creams, shampoos, body and skin rinses, bath gels, soaps, hair conditioners, color conditioners and rinses, hair color solutions, foundation powders (compressed or loose), tooth pastes, oral rinses, and any acceptable cosmetic vehicle or medium.