In most engineering fields there is increasing demand for materials with enhanced physical properties. Components of complex systems exposed to severe environments often require coatings for adequate thermal insulation and to prevent wear, erosion and/or oxidation. Coatings prepared with nanostructured material have, in general, exhibited higher hardness and strength compared to conventional coatings. This paper presents the microstructure, mechanical properties, thermal stability and erosion-oxidation resistance of HVOF (High Velocity Oxygen Fuel) sprayed coatings of Cr3C2-X(Ni20Cr) prepared using nanocrystalline and as-received (AR) powder as feedstock. Details about nanocrystalline powder synthesis and characterization are also presented.