Ultrasmall nanocrystals are a growing sub-class of traditional nanocrystals that exhibit new properties at diameters typically below 2 nm. In this review, we define what constitutes an ultrasmall nanoparticle while distinguishing between ultrasmall and magic-size nanoparticles. After a brief overview of ultrasmall nanoparticles, including ultrasmall gold clusters, our recent work is presented covering the optical properties, structure, and application of ultrasmall CdSe nanocrystals. This unique material has potential application in solid state lighting due to its balanced white emission. This section is followed by a discussion on the blurring boundary between what can be considered a nanoparticle and a molecule.