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Abstract We present the discovery of an as yet nonrepeating fast radio burst (FRB), FRB 20210117A, with the Australian Square Kilometre Array Pathfinder (ASKAP), as a part of the Commensal Real-time ASKAP Fast Transients Survey. The subarcsecond localization of the burst led to the identification of its host galaxy atz= 0.214(1). This redshift is much lower than what would be expected for a source dispersion measure (DM) of 729 pc cm⁻³, given typical contributions from the intergalactic medium and the host galaxy. Optical observations reveal the host to be a dwarf galaxy with little ongoing star formation—very different to the dwarf host galaxies of the known repeating FRBs 20121102A and 20190520B. We find an excess DM contribution from the host and attribute it to the FRB’s local environment. We do not find any radio emission from the FRB site or host galaxy. The low magnetized environment and the lack of a persistent radio source indicate that the FRB source is older than those found in other dwarf host galaxies, establishing the diversity of FRB sources in dwarf galaxy environments. We find our observations to be fully consistent with the “hypernebula” model, where the FRB is powered by an accretion jet from a hyperaccreting black hole. Finally, our high time resolution analysis reveals burst characteristics similar to those seen in repeating FRBs. We encourage follow-up observations of FRB 20210117A to establish any repeating nature.