Nanostructured cobalt particles with and without a ceramic coating have been synthesized using a wet chemical method. The structure and magnetic properties of synthesized powder were characterized using x-ray diffraction (“XRD”), high-resolution transmission electron microscopy (“HRTEM”), and a Quantum Design (SQUID) magnetometer. The cobalt nanoparticles are of either face-centered cubic (“fcc”) and/or hexagonally close-packed (“hcp”) crystalline structures. The average grain size is ∼14 nm for cobalt (either fcc or hcp) with an amorphous silica coating, and the average grain size is ∼9 nm for hcp cobalt and 26 nm for fcc cobalt without a silica coating. The effect of annealing temperature on grain size and magnetic properties are addressed.