Nanoemulsions are one way that fat-soluble cannabinoids can be modified to become "soluble" in water, which the human body prefers. Bioavailability is increased dramatically with nanoemulsions (90+% vs. maybe 15% in an edible) and their onset time is reduced dramatically (<20 minutes vs. 1-2 hours).
The drawbacks are there, though. It's an expensive process that means the cost per milligram goes up. It also means that if you need or want additional active ingredients such as other cannabinoids or terpenes, you will usually have to look elsewhere. The "Entourage Effect" thus becomes more challenging to achieve.
This article from Royal Queen Seeds is a great intro. They've got some other quality content, too.