The enantioselectivity of the copper-catalyzed intramolecular cyclopropanation of allyl diazomalonates and the corresponding phenyliodonium ylides was investigated with a series of chiral, non-racemic ligands. The reaction of 6b in the presence of the bis [dihydrooxazole] ligand Xa in refluxing 1,2-dichloroethane proceeded to 8b with an enantiomer excess (ee) of up to 72% under optimized conditions. In contrast, 8b resulting from reaction of ylide 7b with the same ligand, but in CH 2 Cl 2 at 08, had an ee of only 30%. With other ligands, diazomalonate 6b reacted with a lower enantioselectivity than ylide 7b, however. The intramolecular cyclopropanation of the acetoacetate-derived phenyliodonium ylide 15b afforded 16b with 68% ee with ligand Xa, but the corresponding diazo compound was unreactive when exposed to chiral copper catalysts. The observation of asymmetric induction in the Cu-catalyzed reactions of the ylides 7 and 15 is consistent with a carbenoid mechanism; however, the discrepancy of the enantioselectivities observed between diazomalonate 6b and ylide 7b suggests a competing unselective pathway for cyclopropanation outside of the coordination sphere of copper.[4] decomposition of phenyliodonium ylides [5] affords products typical for carbene or metal carbenoid intermediates. The mechanism of these reactions is, however, controversial. Carbene or carbenoid pathways have often been proposed or assumed, but experimental evidence in support of these hypotheses is scarce. Some years ago, we have investigated the decomposition of some diazo compounds and the corresponding phenyliodonium ylides in the presence of [Rh II (carboxylato)] catalysts. Both precursors afforded the same selectivities in the intermolecular cyclopropanation of substituted styrenes and in the intramolecular competition for cyclopropanation vs. CH insertion. In addition, identical enantioselectivities resulted when the intramolecular CH insertion of a diazoacetoacetate and the corresponding phenyliodonium ylide was carried out in the presence of Ikegamis chiral [Rh II (carboxylato)] catalyst [6]. These results are consistent with a carbenoid mechanism.However, the majority of the synthetically useful reactions with phenyliodonium ylides have been carried out under Cu-catalysis, and for Cu-catalysts the mechanism is not established. Moriarty et al. investigated the intramolecular cyclopropanation of ylide 1 to the tricyclic ketone 4 in the presence of [CuCl] (Scheme 1) [7]: the reaction proceeded in yields of 76 to 90%; surprisingly, it also occurred in the absence of catalyst, albeit in lower yield. The authors proposed a mechanism in which the electrophilic iodonium center attacks the CC bond to afford a carbenium ion 2, which, subsequently, undergoes transannular alkylation to yield 3. Reductive elimination of PhI from 3 finally produces the cyclopropane 4. The catalytic effect of Cu I , in turn, was ascribed to electron transfer. A carbene mechanism was specifically ruled out.