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Uniform coating of nanometer-scale BaTiO3Dy2O3SiO2 layers on spherical Ni particles are achieved by controlled hydrolysis of tetrabutyl titanate (TBT), hydrothermal reaction with Ba(OH)2, and co-precipitation of tetraethylorthosilicate (TEOS) and Dy(NO3)3. The composition of the coating layer is similar to rare earth oxide-silica–doped BaTiO3, which is the main component of dielectric layer for base metal electrode (BME) multilayer ceramic capacitors (MLCCs). After coating, the shrinkage onset temperature of Ni particles is significantly increased. After sintered to pellets, the electrode has good electrical conductivity. This electrode material has good compatibility with rare earth oxide and silica-doped BaTiO3 dielectric materials, and could serve as promising candidate for application in the next generation BME-MLCCs.