The deep‐level defects at grain boundary (GB) result in serious trap‐assisted non‐radiative recombination. Moreover, the degradation of perovskite films is preferentially triggered by the attack of GBs by water and/or oxygen. Therefore, it is urgently needed to develop a multifunctional GB tailoring strategy to address the abovementioned issues. Herein, a self‐formed multifunctional GB passivation strategy is reported, where an ultrathin GB passivation layer is in situ constructed via incorporating K2SO4 into perovskite precursor solution. The self‐formed GB passivation layer plays multiple functions, including crystallization improvement, defect passivation, and moisture resistance. The GB manipulation strategy endows perovskite films reduced defect density, boosted carrier lifetime, and thus suppressed non‐radiative recombination, which contributes to efficiency enhancement from 20.39% to 22.40%. The GB tailoring approach makes the unencapsulated target device exhibit no degradation while the control device degrades to 93% of its initial power conversion efficiency after 1200 h ambient exposure with a relative humidity of 10–20%. The modified device maintains 98% of its original efficiency after aging at 60 °C for 1200 h, whereas only 89% for the control device. Herein, the importance of developing an in situ GB modification strategy in enhancing performance of perovskite photovoltaics is highlighted.