diff --git a/tests/test_nest.py b/tests/test_nest.py
new file mode 100644
index 0000000..88466e7
--- /dev/null
+++ b/tests/test_nest.py
@@ -0,0 +1,109 @@
+import pytest
+import tinyio
+
+
+class SingleElementQueue:
+    def __init__(self):
+        self._event = tinyio.Event()
+        self._elem = None
+
+    def put(self, x):
+        if self._elem is not None:
+            raise ValueError("Queue is full")
+
+        self._elem = x
+        self._event.set()
+
+    def get(self):
+        while self._elem is None:
+            yield self._event.wait()
+        x = self._elem
+        self._elem = None
+        return x
+
+
+@pytest.mark.parametrize("nest_g", (False, True))
+@pytest.mark.parametrize("nest_h", (False, True))
+def test_nest(nest_g: bool, nest_h: bool):
+    """Test that all coroutines make progress when some are nested"""
+    q1 = SingleElementQueue()
+    q2 = SingleElementQueue()
+
+    # Intertwine two coroutines in such a way that they can only
+    # finish if both of them make progress at the same time, but
+    # not if one blocks until the other has completed.
+    def g() -> tinyio.Coro[int]:
+        q1.put(1)
+        x = yield q2.get()
+        q1.put(x + 1)
+        return (yield q2.get())
+
+    def h() -> tinyio.Coro[int]:
+        x = yield q1.get()
+        q2.put(x + 1)
+        x = yield q1.get()
+        q2.put(x + 1)
+        return x
+
+    def maybe_nest(c: tinyio.Coro[int], nest: bool) -> tinyio.Coro[int]:
+        if nest:
+            return tinyio.nest(c)
+        else:
+            return c
+
+    def f() -> tinyio.Coro[list[int]]:
+        return (yield [maybe_nest(g(), nest_g), maybe_nest(h(), nest_h)])
+
+    out = tinyio.Loop().run(f())
+    assert out == [4, 3]
+
+
+def test_nest_with_error_in_inner_loop():
+    """Test that if an inner coroutine raises an exception, nested
+    coroutines are cancelled but outer ones keep running"""
+    q1 = SingleElementQueue()
+    q2 = SingleElementQueue()
+
+    g_was_cancelled = True
+    i_was_cancelled = True
+
+    def g() -> tinyio.Coro[int]:
+        nonlocal g_was_cancelled
+        q2.put(5)
+        yield tinyio.sleep(1)
+        g_was_cancelled = False
+        return 1
+
+    def h() -> tinyio.Coro[int]:
+        x = yield q1.get()
+        y = yield q2.get()
+        if x == 5 and y == 5:
+            raise RuntimeError("Kaboom")
+        return x + y
+
+    def i() -> tinyio.Coro[int]:
+        nonlocal i_was_cancelled
+        q1.put(5)
+        yield tinyio.sleep(1)
+        i_was_cancelled = False
+        return 2
+
+    def nested() -> tinyio.Coro[list[int]]:
+        return (yield [h(), i()])
+
+    def try_nested() -> tinyio.Coro[list[int]]:
+        try:
+            return (yield from tinyio.nest(nested()))
+        except RuntimeError as e:
+            assert str(e) == "Kaboom"
+            return [-1, -1]
+        else:
+            assert False
+
+    def f() -> tinyio.Coro[list[int]]:
+        return (yield [g(), try_nested()])
+
+    assert tinyio.Loop().run(f()) == [1, [-1, -1]]
+
+    assert not g_was_cancelled
+    assert i_was_cancelled
diff --git a/tinyio/__init__.py b/tinyio/__init__.py
index 0e6cddc..6462160 100644
--- a/tinyio/__init__.py
+++ b/tinyio/__init__.py
@@ -8,6 +8,7 @@
 from ._integrations import (
     from_asyncio as from_asyncio,
     from_trio as from_trio,
+    nest as nest,
     to_asyncio as to_asyncio,
     to_trio as to_trio,
 )
diff --git a/tinyio/_integrations.py b/tinyio/_integrations.py
index cf5afb8..50cc909 100644
--- a/tinyio/_integrations.py
+++ b/tinyio/_integrations.py
@@ -100,3 +100,22 @@ async def to_trio(coro: Coro[_Return], exception_group: None | bool = None) -> _
                 await trio.sleep(0)
             else:
                 await trio.to_thread.run_sync(wait)
+
+
+def nest(coro: Coro[_Return], exception_group: None | bool = None) -> Coro[_Return]:
+    """Runs a coroutine in a separate "inner" loop.
+
+    In particular, this isolates coroutines running in the "outer" loop from exceptions
+    occurring from coroutines in the inner one, while still allowing corountines in both
+    loops to make progress simultaneously.
+    """
+    with Loop().runtime(coro, exception_group) as gen:
+        while True:
+            try:
+                wait = next(gen)
+            except StopIteration as e:
+                return e.value
+            if wait is None:
+                yield
+            else:
+                yield run_in_thread(wait)