ABSTRACT Micro-electric Discharge-Milling (µ-ED-M) is a non-contact process that uses an electrical spark to remove the material from a submerged workpiece with an electrode in a dielectric. The present paper focuses on optimizing process energizing (Capacitor, Voltage) and process stabilizing (Tool Travel Speed, Nano-Powder) parameters for controlling the size and surface characteristics of micro-crater. The present work focuses on the effect of nano-powder concerning dimensional aspects and surface characteristics at high and low capacitance levels. A µ-slot has been generated on the copper material by a tungsten carbide electrode. The experimentation is performed with two capacitor levels and three voltage and tool travel speed levels using full factorial design technique using with and without mixing of nano-powder in dielectric. The desirability functional multi-objective optimization approach is used to analyze the MRR, TWR, Width, and Depth. Field emission scanning electron microscopy (FESEM), non-contact optical profilometer, and x-ray diffraction (XRD) techniques are used to analyze the surface morphology of machined surfaces. The ANOVA is used to optimize the results; at low discharge energy, tool travel speed contributes 41% and promotes a higher thickness of recast layer 12.7 µm, whereas high discharge energy and nano-powder concentration contribute approx.—36% with 8.56 µm of recast layer.