The mixed liquor of AgNO3 and CuSO4 was reduced by ascorbic acid or hydrazine hydrate. By changing the concentration, proportion and reaction temperature, the ultrafine Ag-Cu immiscible alloy powder was prepared successfully. The alloy powders were characterized by X-ray diffraction (XRD), scanning electron microscopy (SEM) and thermogravimetric analyzer (TG). The alloy powder was used for the preparation of conductive adhesive and its electrical properties were tested. The antibacterial experiments were also carried out. The results show that immiscible alloy powders which is reduced by ascorbic acid and hydrazine hydrate have particle diameters of 463-871 nm and 25.9-63.5 nm, respectively. The alloy powder which is reduced by ascorbic acid has stronger resistance to oxidation and better electrical conductivity, meanwhile the alloy powder which is reduced by hydrazine hydrate has stronger antibacterial property. ©, 2015, Editorial Office of Transactions of Materials and Heat Treatment. All right reserved.