When water is heated and pressurized above the critical point, it becomes a suitable solvent to employ organic capping ligands to control and stabilize the synthesis of nanocrystals. Without alkanethiol ligands, Cu(NO3)(2) hydrolyzes to form polydisperse copper(II) oxide particles with diameters from 10 to 35 nm. However, in the presence of 1-hexanethiol, X-ray photoelectron spectroscopy, selected area electron diffraction, and transmission electron microscopy reveal the formation of copper nanocrystals similar to7 nm in diameter. The use of a different precursor, Cu(CH3COO)(2), leads to particles with significantly different morphologies. A mechanism is proposed for sterically stabilized nanocrystal growth in supercritical water that describes competing pathways of hydrolysis to large oxidized copper particles versus ligand exchange and arrested growth by thiols to produce small monodisperse Cu nanoparticles.