Chemical nanoreactors operate by confining reactants within a nanoscale space, often within nanoparticles, nanotubes, or nanocages. This confinement can lead to enhanced reactivity due to the increased surface area-to-volume ratio and the quantum effects that emerge at the nanoscale. Additionally, the walls of the nanoreactor can be functionalized with specific catalysts or other active sites to further influence the reaction kinetics and selectivity.