Metallic and bimetallic PdAu nanoparticles were solubilized in 1-butyl-3-methylimidazolium hexafluorophosphate ionic liquid (IL) by a phase-transfer method using poly(vinylpyrrolidone) (PVP) as a stabilizer. Nanoparticles were characterized by UV-vis spectroscopy and transmission electron microscopy. The bimetallic PdAu nanoparticles in the IL-phase were examined as catalysts for hydrogenation reactions; both the activity and selectivity of the hydrogenation reactions could be tuned by varying the composition of the bimetallic nanoparticles, with maximum activities seen at 1:3 Au:Pd ratios. These nanoparticles/IL catalysts were recycled and then reused for further catalytic reactions with minimal loss in activity. (C) 2008 Elsevier B.V. All rights reserved.