The biodiversity–ecosystem function (BEF) relationship is the basis for studying the restoration of degraded ecosystems, and the simultaneous assessment of multi-trophic-level biodiversity and ecosystem multifunctionality relationship is more conducive to unravelling the restoration mechanism of degraded ecosystems, especially for degraded forest ecosystems with harsh habitats and infertile soils such as karst. In this study, we evaluated the biodiversity and soil multifunctionality (SMF) of degraded karst forests (scrub, SB; secondary growth forests, SG; old-growth forests, OG) in the Maolan National Nature Reserve, China, using 30 sample plots. Biodiversity and soil multifunctionality (SMF) at three trophic levels (plant–soil fauna–soil microorganisms), were assessed through vegetation surveys and soil sampling. One-way ANOVA showed that SMF increased with natural restoration, but multi-trophic level biodiversity showed different trends. Pearson’s correlation analysis showed a positive correlation between plant species diversity and SMF (p < 0.001), whereas soil fauna and soil microorganisms were negatively correlated with SMF. Structural equation modeling revealed a cascading effect of the multi-trophic level on the stimulation of the SMF during restoration. Only soil microorganisms exhibited a direct driving effect on SMF (p < 0.001), whereas plants indirectly influenced soil microorganisms through soil fauna, which subsequently affected the SMF. Although we observed the negative effects of increased plant diversity on soil fauna and soil microbial diversity in terms of quantitative relationships, the increase in soil fauna species and the evenness of soil microbial function still contributed to SMF restoration. This study revealed the cascading effects of multi-trophic diversity in promoting SMF restoration and emphasized that soil microbes are key to unraveling restoration mechanisms and processes, whereas soil fauna is an important intermediate link.