This paper describes development of multi-functional aluminum and its composite by embedding an insulated metal wire instead of embedding optical fiber. In this paper, nickel wire is used because it is easily oxidized to be electrically insulated from aluminum matrix. The NiO/Ni composite fiber obtained by surface oxidation at 1073K for 7.2ks can be embedded in aluminum matrix by hot pressing at 798K for 7.2ks under 16.4MPa without fracture. If a part of NiO is removed, temperature of this position can be measured because a thermocouple is formed. Temperatures at two different points can be measured by this method. Strain of the same material can be monitored by measuring electrical resistance of the embedded NiO/Ni fiber. Using this method, fracture of SiC reinforcement fiber can be detected as a sudden increase of the electrical resistance.