Chiral rare earth nanomaterials, which impart optical activity through chiral structures or ligands, possess promising application potential in optoelectronic displays, biosensing, information encryption, and catalysis due to unique properties like circularly polarized luminescence, exceptional photostability, and tunable optics. This review systematically summarizes recent advancements, focusing on synthetic strategies, distinctive optical properties, and experimental demonstrations of applications across various fields. Finally, prospects and challenges for future development are discussed. These studies advance the understanding of circularly polarized luminescence and enable the flexible design and fabrication of chiral rare earth nanomaterials with engineered functionalities, addressing practical challenges in optoelectronic displays and biomedicine.