The polymerization of butadiene in a solution of 1-butanol as a solvent and in the presence of hydrogen peroxide as an initiator was studied. The influence of four factors-polymerization temperature, concentration of the initiator, polymerization time, and stirring rate-on the yield, molecular weight characteristics, and the number-average functionality of the hydroxyl-terminated polybutadienes (HTPBs) were determined. Regression models which adequately fit the experimental data were obtained. On this basis, the optimum values of the most significant factors-polymerization temperature and concentration of the initiator for obtaining maximum yield of HTPB- were evaluated.