The sintering temperature being lowered and matrix material being selected in the manufacturing process are the good way to reduce the effect of sintering temperature on the properties of diamond and improve matrix performance of cutting tools. Diamond impregnated matrix samples with an appropriate amount of nano-nickel powder were prepared by the vacuum hot-pressed. The hardness, strength, friction properties and microstructure were investigated in order to evaluate the feasibility of this method. The results show that for WC-based diamond impregnated matrix, HRC of the matrix containing nano-nickel powder is increased by 11.9%, bending strength by 18.4% and abrasion ratio by 44.5% than those of the matrix without nano-nickel powder respectively; and for Fe-based diamond impregnated matrix, HRC of the matrix containing nano-nickel powder is increased by 19.5%, bending strength by0.2%, and abrasion ratio by 33.3% than those of the matrix without nano-nickel powder respectively. So adding nano-nickel powder to the matrix can both reduce the effect of sintering temperature on diamond and improve cutting performance.