An unexpected phosphine-catalyzed controllable three-component domino reaction involving [1 + 2 + 2] annulation and [1 + 2 + 2]/[3 + 2] sequential annulation reaction of 2-arylmethylidene cyanoacetates/malononitriles with Morita−Baylis− Hillman (MBH) carbonates has been developed. A broad range of densely functionalized cyclopentanes and diquinanes bearing five or four consecutive stereogenic centers, including two all-carbon quaternary stereocenters, were smoothly acquired in moderate to excellent yields under mild reaction conditions from readily available materials. Moreover, this divergent transformation enables the simultaneous generation of three or four new C−C bonds and one or two carbocyclic rings in only one step.C yclopentane derivatives are widely occurring subunits in pharmaceuticals and biologically active molecules among which densely functionalized cyclopentanes and diquinanes bearing multiple consecutive stereogenic centers are privileged structural motifs in natural products (Figure 1). 1 Selected examples are scandine, 1a canataxpropellane, 1b pactamycin, 1c paniculatine, 1d lycojaponicumin C, 1e calyciphylline N, 1f and anislactone A. 1g Such compounds have been demonstrated to be effective in treating rheumatic heart diseases, antibacterial/ anticancer activity, etc. 2 Therefore, these polysubstituted cyclopentanes and diquinanes have been a hot topic attracting significant attention from the organic synthetic community, and a large number of efficient synthetic methods for the rapid construction of the mentioned skeletons have been reported. 3 However, methods with a greater scope and practicality are still needed. To the best of our knowledge, phosphinecatalyzed annulation reactions have been well-established as powerful tools for the convenient creation of carbocycles and heterocycles. 4 In continuation of our interest in the field of organocatalysis, especially phosphine catalysis, 5 we sought to design a phosphine-catalyzed three-component domino