Nano-technology (NT) and nano-materials (NMs) has attracted considerable scientific attention, due to the new potential uses of nano-particles (NPs), which can change the concrete world. There is a great interest in replacing a long time used materials in concrete structure by NMs to improve the different properties of concrete. In this study, the hydration characteristics and microstructure of cement pastes and mortars with and without nano-silica (NS) were studied. Blended cement mix containing 10 mass, % silica fume (SF) was prepared, then the cement mix was partially replaced by NS up 1.5 mass, %. The results show that, NS increases the water of consistency and final setting time The values of chemically combined water, free lime, bulk density and compressive strength prove that, NS up to 1% seems to be an effective mineral additive for blending with OPC to improve its chemical and engineering properties. This is mainly attributed to that; NS behaves not only as filler to improve microstructure, but also as pozzolanic material (PZM). The formation of more hydrated silicates in presence of NS was confirmed by XRD, DTA, IR and SEM examinations. At 1.5 mass, % NS, the density and strength are reduced but still higher than those of 0.0 and 0.5% NS. Also, the results indicate that, the substitution of blended cement mix (OPC+10% SF) with 1 mass, % NS gives a reasonable hydration characteristics and improved engineering properties more than those of 0.0 and 0.5% NS at all hydration ages up to 90 days. Therefore, this level of NS is suggested to be the most suitable replacement level.