The design and characteristics of the displacement sensor based on a hysteresis- and friction-free Hall-effect transducer are described. The conversion factor is 40 mV/mm at a supply current of 90 mA. The displacement ranges are within the margins of ±1 mm and ±0.4 mm with a deviation from the linearity of less than 1%. The stiffness is 10 g-force/mm and the achieved resolution is 1.25 nm.