The one‐pot synthesis of 2,5‐bis(diarylphosphoryl)‐3,6‐bis(arylamino)cyclohexa‐2,5‐diene‐1,4‐diones has been achieved by AgI‐mediated full C–H functionalization of 1,4‐benzoquinone (BQ) through regioselective dual phosphination and amination reactions. BQ, diarylphosphine oxides [SPOs, Ar2PH(=O)], and imines reacted to give the products under mild conditions. 1,4‐Naphthoquinone (NQ) could also be used instead of BQ. When aniline was used instead of the corresponding imine, a lower yield of the desired product was obtained. In the absence of Ag2CO3, hydrophosphinylation of the imine by the SPO occurred as a competitive side‐reaction. AgI plays versatile roles in this reaction, as a mediator for facilitating the consecutive additions of Ar2P(=O)– and aniline to the related β‐carbon atoms of BQ, as an oxidant of hydroquinone (HQ) intermediates to form the substituted BQ counterpart, and as an inhibitor of the hydrophosphinylation side‐reaction of the imine by the SPO. The X‐ray crystal structures of several new products have been determined. A reaction mechanism is also proposed based on the experimental results.