Abstract Traditional lithium‐ion battery (LIB) anodes, whether intercalation‐type like graphite or alloying‐type like silicon, which employ a single lithium storage mechanism, are often limited by modest capacity or substantial volume changes. Here, we introduce the kesterite multi‐metal dichalcogenide (CZTSSe) as an anode material that harnesses a conversion‐alloying hybrid lithium storage mechanism. Results unveil that during the charge‐discharge processes, the CZTSSe undergoes a comprehensive phase evolution, transitioning from kesterite structure to multiple dominant phases of sulfides, selenides, metals, and alloys. The involvement of multi‐components facilitates electron transport and mitigates swelling stress; meanwhile, it results in the formation of abundant defects and heterojunctions, allowing for increased lithium storage active sites and reduced lithium diffusion barrier. The CZTSSe delivers a high specific capacity of up to 2266 mA h g −1 at 0.1 A g −1 while maintaining a stable output of 116 mA h g −1 after 10000 cycles at 20 A g −1 . It also demonstrates remarkable low‐temperature performance, retaining 987 mA h g −1 even after 600 cycles at −40 °C. When employed in full cells, a high specific energy of 562 Wh kg −1 is achieved, rivalling many state‐of‐the‐art LIBs. This research offers valuable insights into the design of LIB electrodes leveraging multiple lithium storage mechanisms. This article is protected by copyright. All rights reserved