High temperature superconducting coated conductor has a structure of <protecting layer>/<superconducting layer>/<buffer layer>/<metallic substrate>. The buffer layer consists of multi-layer, this study reports the deposition method and optimal deposition conditions of YSZ(Yttria-stabilized zirconia) layer which plays a important part in preventing the elements of substrate from diffusing into the superconducting layer. YSZ layer was deposited by DC reactive sputtering technique using water vapor for oxidizing deposited elements on substrate. To investigate optimal thickness of YSZ film, four YSZ/CeO$_2$/Ni samples with different YSZ thickness(130 nm, 260 nm, 390 nm, and 650 nm) were prepared. The SEM image showed that the surface of YSZ layer was getting to be rougher as YSZ layer was getting thicker and the growth mode of YSZ layer was columnar grain growth. After CeO$_2$ layer was deposited with the same thickness of 18.3 nm on each four samples, YBCO layer was deposited by PLD method with the thickness of 300 nm. The critical currents of four samples were 0, 6 A, 7.5 A, and 5 A respectively. This shows that as YSZ layer is getting thicker, YSZ layer plays a good role as a diffusion barrier but the surface of YSZ layer is getting rougher.