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Microchannel technology is an effective method to solve the heat transfer of microelectronics. Nanofluids are considered to have great application potential in microchannel heat exchangers. In this experiment, β-cyclodextrin (β-CD) was used to modify ZrO 2 nanoparticles. The morphology, functional group, and crystal structure of the nanoparticles before and after modification were studied. Ethylene glycol aqueous solution-based nanofluids were prepared using a two-step method. Its physical properties were studied. The modified nanofluid has better stability. The thermal conductivity of the nanofluid was measured and the mathematical model was analyzed. The results showed that the nanofluid with a concentration of 0.10 vol% was 37.82% higher than the base fluid at 60 °C. The results of the mathematical analysis indicate that the fabrication of nanofluids using β-cyclodextrin-modified ZrO 2 has great potential for application in heat transfer in microelectronic microchannels. [ABSTRACT FROM AUTHOR]