Benzotriazole and its derivatives show good tribological properties, anti-oxidation, anti-corrosion, rust prevention and dispersion capabilities as lubricating additives, becoming the common multifunctional additives. And how to avoid sulfur- or phosphorus-introduction to improve their functionality and the compatibility with hydrocarbons is the forefront research. In this study, methylbenzotriazole and oleic acid were applied to synthesize a new methylbenzotriazole-amide that with long alkyl-chain (E)-N-(2-(5-methyl-2H-benzodiazole-2-yl)ethyl)octadec-9-enamide (MeBz-2-C18), which was characterized by nuclear magnetic resonance (NMR), high-resolution mass spectrometry (HR-MS), FT-IR and thermogravimetric analysis (TGA). The thermal stability and tribological properties of MeBz-2-C18 were compared with the commercially available benzotriazole oleamide (T406). The results show that MeBz-2-C18 has better thermal stability and base oil compatibility than that of T406, and 0.5 wt.% addition of MeBz-2-C18 could decrease the average wear scar diameter (ave. WSD) by 21.6%. The wear surface analysis and DFT calculation show that the amide group in MeBz-2-C18 is preferentially broken during friction, which would reduce the interfacial shear force and easily react with the metal surface to form iron oxide film, thus demonstrating a better anti-wear and friction reducing performance, indicating its potential application as an environmental friendly multifunctional additive.