The continuous deterioration of feedstocks, the increasing demand of diesel, and the increasingly strict environmental regulations on gasoline call for the development of fluid catalytic cracking (FCC) technology. To increase the feed conversion and the diesel yield as well as produce low-olefin gasoline, the multifunctional two-stage riser (MFT) FCC process was proposed. Experiments were carried out in a pilot-scale riser FCC apparatus. Results show that a higher reaction temperature is appropriate for heavy cycle oil (HCO) conversion, and the semispent catalyst can also be used to upgrade light FCC gasoline (LCG). The synergistic process of cracking HCO and upgrading LCG in the second-stage riser can significantly enhance the conversion of HCO while reducing the olefin content of gasoline at less expense of gasoline yield. Furthermore, the novel structure riser reactor can increase the conversion of olefins in gasoline. Because of the significant increase of HCO conversion, the fresh feedstock can be cracked under mild conditions for producing more diesel without negative effects on the feed conversion. Compared with the TSR FCC process, in the MFT FCC process, the increased feed conversion, diesel and light oil yields can be achieved, at the same time, the olefin content of gasoline decreased by approximately 17 wt %.