> You can't actually nest virtual environments, at least with venv

Yes, they can't be nested in terms of inheriting site-packages. But the "home" value in this case references the creating environment, which hasn't changed from previous versions. It's the same in Linux. In my first message I suggested having the launcher resolve pyvenv.cfg files until it finds the real python.exe to execute (the first one with no pyvenv.cfg file), thus bypassing the intervening launchers.

> What is in your pyvenv.cfg files here?

They're as expected:

    C:\>type C:\Temp\test\env37_1\pyvenv.cfg
    home = C:\Program Files\Python37
    include-system-site-packages = false
    version = 3.7.2

    C:\>type C:\Temp\test\env37_2\pyvenv.cfg
    home = C:\Temp\Test\env37_1\scripts
    include-system-site-packages = false
    version = 3.7.2