Smoothness and discontinuous (SD) oscillator is a nonlinear oscillator with the variable frequency, whose frequency can be varied with the smoothing parameter. However, how to adjust the smoothing parameter has not been solved in the actual device. In this paper, the shape memory alloy (SMA) is introduced into the SD oscillator to form the SMA-SD oscillator to adjust the smoothing parameters. Combining the SMA-SD oscillator with MRF, a nonlinear dynamic vibration absorber (DVA) with variable frequency and damping is designed. The structure and control principle of the designed DVA is studied to achieve the two variable characteristics simultaneously by adjusting the current intensity. Numerical results on a two-degree-of-freedom coupled system show that the proposed DVA can adapt to different working conditions only by adjusting the current intensity.