The passive membrane-free alkaline direct borohydride fuel cells (DBFCs) are considered as a promising alternative for portable electronic devices due to its high energy density of fuel and low cost. Ni is the most commonly used anode material as it has the advantages of low capital cost and high catalytic activity for borohydride oxidation reaction (BOR). However, its low coulombic efficiency and high byproduct production during discharging greatly hindered its application in DBFCs. To address these issues, a Pd-decorated Ni anode with a low Pd loading was obtained by electrochemically depositing Pd on Ni mesh. It was found that the loading of Pd on the anode played a crucial role on the activity of borohydride oxidation reaction (BOR). The passive membrane-free DBFC with this Pd-Ni composite anode exhibited a maximum power power density of 63 mW·cm⁻² when the Pd loading was 0.3 mg·cm⁻². These results indicated that the membrane-free DBFC with the Pd-decorated Ni composite electrode had a great potential for the commercial application.