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Camellia oleifera oil is a pure and natural high-grade oil prevalent in South China. Camellia oleifera oil is known for its richness in unsaturated fatty acids and high nutritional value. There is increasing evidence indicating that a diet rich in unsaturated fatty acids is beneficial to health. Despite the widespread production of Camellia oleifera oil and its bioactive components, reports on its nutritional components are scarce, especially regarding systematic reviews of extraction methods and biological functions. This review systematically summarized the latest research on the bioactive components and biological functions of Camellia oleifera oil reported over the past decade. In addition to unsaturated fatty acids, Camellia oleifera oil contains six main functional components contributing to its antioxidant, antibacterial, anti-inflammatory, antidiabetic, anticancer, neuroprotective, and cardiovascular protective properties. These functional components are vitamin E, saponins, polyphenols, sterols, squalene, and flavonoids. This paper reviewed the biological activity of Camellia oleifera oil and its extraction methods, laying a foundation for further development of its bioactive components.