Delivery systems smaller than 50 nm are advantageous for cancer prevention. In this study, curcumin was dissolved in shellac micelles following co-dissolving at pH 13.0 and neutralization using glucono-delta-lactone. With 5% w/v shellac and 0.5−5 mg/mL curcumin, the loading capacity and encapsulation efficiency were up to 8.0 and 92.6%, respectively, and the nanocapsules had an average diameter of 20 nm. Differential scanning calorimetry, FTIR spectroscopy, and fluorescence spectroscopy results confirmed the encapsulation of curcumin in an amorphous state in shellac micelles. The neutral nanocapsule dispersions maintained the particle dimension and had less than 10% curcumin degradation during 4 week storage at 4 °C. Nanoencapsulating curcumin enhanced in vitro bioavailability and antiproliferation activity against colon cancer cells. After simulated digestions, ∼60% of the nanoencapsulated curcumin was not available for intestinal absorption, nanocapsules retained their structure, and nanoencapsulated curcumin remained active against colon cancer cells, indicating the potential delivery for colorectal cancer prevention.