A conventional micro-sized NiCr–Cr 2 O 3 –Ag–BaF 2 /CaF 2 blending feedstock (PS304; developed by NASA) leads to a non-uniform layered coating microstructure due to the difference in the physical and thermophysical properties of components. Therefore, in this research, we made a new feedstock of one system including a nano-component (under 100 nm Cr 2 O 3 ) through the spray drying method. Microstructure and mechanical properties of the nano-Cr 2 O 3 containing spray-dried coatings were evaluated and compared with the blended feedstock (PS304). The coating microstructure had more uniform, finer microstructure and the mechanical properties (Vickers microhardness and bonding strength) of spray-dried coatings were improved.