Liver cancer is an aggressive malignancy associated with high levels of mortality and morbidity. While Doxorubicin (Dox) is often used to slow down liver cancer progression, its efficacy is limited and its severe side effects prevent its routine usage at effective concentrations, unless concentrated within carriers that minimize its release in healthy tissues. Herein, we present a biomimetic peptide that coacervates into micro-droplets, within which both Dox and magnetic nanoparticles (MNPs) can be efficiently encapsulated. These Dox-loaded Magnetic Coacervates (DMCs) can be used for thermo-chemotherapy, where the controlled release of Dox is activated by an external Alternating Current Magnetic Field (AMF). The DMCs are internalized by cells via an energy-independent mechanism bypassing endocytosis. Application of AMF generates temperature of ca. 45 °C within the DMCs, triggering their disassembly and concomitant release of Dox, and allowing dual hyperthermia and chemotherapy for more efficient cancer treatment. In vitro studies reveal that the DMCs are cyto-compatible and effective in killing HepG2 liver cancer cells under AMF. Thermo-chemotherapy treatment against HepG2 cells is also shown to be more effective compared to either hyperthermia or chemotherapy treatments alone. These results suggest that our peptide DMCs open new avenues in future theranostic strategies against liver cancer by offering programmable, wireless, and remote control of Dox release.