In-situ lithiated NiO has been used as a conventional cathode material of molten carbonate fuel cell (MCFC). However, this material has a weakness for commercialization of MCFC because NiO is spontaneously dissolved into the electrolyte during the operation and makes a short circuit of Ni between cathode and anode. In this research, therefore, Co(OH)2-coated Ni powder was prepared by precipiation method with controlling pH at low temperature and atmospheric pressure. Modified cathode was fabricated by a conventional tape casting method and sintered at 700°C in an H2/N2 atmosphere. Based on characterization resul. the modified electrode was composed of Co-Ni solid solution with high mechanical strength. Pore size distribution and porosity were suitable for the cathode of MCFC. According to the result of dissolution alalysis. Ni solubility of the modified cathode was 33%, which is lower than that of conventional cathode. In addition, the modified electrode showed a good performance in a single cell operation.