To increase the manufacture efficiency of electroplated diamond tools, a nickel plating solution containing ammonium sulphate and sodium formate was investigated. The effects of concentration of ammonium sulphate, sodium formate and pH value on throwing power, covering power, ability to resist Cu2+ contamination and deposit microhardness were studied. Surface topography of deposits was also observed by SEM. Compared to watts bath, the plating solution studied is advantageous in terms of the performance of plating solution, deposit hardness and diamond bit behavior. Ammonium sulphate can refine deposit crystal grains and result in crystal form change.