A highly stable heterobifunctional fluoroalkylation reagent, 1-azido-2-chloro-1,1,2-trifluoro-2-iodoethane (ACTI) has been prepared in high yield for the first time by a new method. Moreover, the reactivity of both the azido group and the iodine atom of the reagent was systematically investigated and the results demonstrate that this compound is a very versatile and useful new fluoroalkylation reagent for preparation of fluorinated organic compounds.