Ti Grade 2 was prepared by cryogenic attritor milling in liquid nitrogen and liquid argon. Two types of milling balls were used—stainless steel balls and heavy tungsten carbide balls. The effect of processing parameters on particle size and morphology, contamination of powder and its microhardness was investigated. Milling in liquid nitrogen was not feasible due to excessive contamination by nitrogen. Minor reduction of particle size and significant alterations in particle morphology depended on type of milling balls and application of stearic acid as processing control agent. Heavily deformed ultra-fine grained (UFG) internal microstructure of powder particles was observed by the method of “transmission Kikuchi diffraction”.