Epitaxial BaTiO 3 fi lms with embedded metallic Ni nanocrystal (Ni-BaTiO 3 ) were successfully fabricated on SrTiO 3 (001) single-crystalline substrate through the laser molecular beam epitaxial (L-MBE) technique. High resolution transmission electron microscopy (HRTEM) and electron energy loss spectrum (EELS) with Kramers-Kronig analysis methods were employed to characterize the microstructures, elementary distribution and the electron structure of these fi lms. HRTEM results suggested that the structure of BaTiO 3 was tetragonal with lattice parameters of a=0.399 nm and c=0.403 nm. Energy dispersive X-Ray spectroscopy (EDX) confirmed metallic Ni nanocrystal embedded successfully in BaTiO 3 epitaxial films. The Ni-BaTiO 3 composite fi lms were compound of the epitaxial BaTiO 3 (110) layers alternating with Ni NCs array (111) layers. Furthermore, the existence of the misfi t dislocations induced by the embedding of Ni nanoparticles was also clearly demonstrated by the HRTEM images. The Ni L 2, 3 edges of EELS revealed that Ni NCs in their metallic state were embedded uniformly in the BaTiO 3 matrix. A chemical shift of about 7 eV regarding L 3 edges in the Ni EELS was also observed. The optical band gap of BaTiO 3 in these fi lms was about 3.84 eV, higher than 3.55 eV for pure BaTiO 3 fi lms at room temperature.