An environmentally friendly wood adhesive for use in indoor applications was prepared by blending polymethacryloxypropylsilsesquioxane (PSQ)/polyvinyl acetate (PVAc) hybrid nanoparticles (HNPs) and a starch-based wood adhesive. HNPs were synthesized by emulsion polymerization of vinyl acetate in the presence of PSQ core nanoparticles, and then added in various amounts to a starch-based wood adhesive, prepared by grafting of PVAc onto starch. Energy-dispersive X-ray analysis coupled with field-emission scanning electron microscopy revealed uniform dispersion and distribution of HNPs in the composite adhesives due to compatibility of the PVAc shell with the PVAc-grafted starch. The addition of HNPs improved the film-forming ability of the adhesive and alleviated the agglomeration of starch. It also improved the adhesives toughness, appeared with multiple shear bands in their cross-sectional microscopic images. Thus, inclusion of 3, 7, and 20 wt% HNP into the adhesive resulted in 50, 65, and 74 % improvement in its dry shear strength, respectively. However, the excessive increase in the viscosity of the adhesive containing 30 wt% HNP reduced its dry shear strength to a value similar to that of the pristine adhesive. The increase in the HNPs content from 7 to 30 wt% improved the thermal stability of the adhesives.