AbstractIn order to obtain an efficient flame retardant and smoke suppressor without sacrificing mechanical properties of epoxy resin (EP). A cyano group‐containing 9,10‐dihydro‐9‐oxa‐10‐phosphaphenanthrene‐10‐oxide (DOPO) derivative (CP‐DOPO) was proposed and synthesized through one‐step Atherton–Todd reaction between DOPO and 4‐cyanophenol. The comprehensive performance analysis of CP‐DOPO‐based EP composite was conducted by measuring the flame retardancy, smoke suppression, and mechanical properties. The flame‐retardant test findings shows that the EP/4CP‐DOPO sample achieves UL‐94 V‐0 rating with 4 wt% low addition of CP‐DOPO. Moreover, EP/6CP‐DOPO sample presents a LOI of 36.5%, a 28.1% reduction in the peak heat release rate, and a 42.1% substantial decrease in total smoke production, demonstrating its desirable flame retardancy and smoke suppression properties. Significantly, different from the traditionally additive flame retardants, the mechanical properties of EP matrix will not be affected by the incorporation of CP‐DOPO but a 17.7% increasement of flexural properties compared to EP. This research not only provides an ingenious strategy for designing and preparing high‐effective flame retardant but also enhances the comprehensive performance of EP resins in practical applications.