Demands for ultrahigh strength in structural materials have been steadily increasing in response to environmental issues. Maraging alloys offer a high tensile strength and fracture toughness through a reduction of lattice defects and formation of intermetallic precipitates. The semi-coherent precipitates are crucial for exhibiting ultrahigh strength; however, they still result in limited work hardening and uniform ductility. Here, we demonstrate a strategy involving deformable semi-coherent precipitates and their dynamic phase transformation based on a narrow stability gap between two kinds of ordered phases. In a model medium-entropy alloy, the matrix precipitate acts as a dislocation barrier and also dislocation glide media; the grain-boundary precipitate further contributes to a significant work-hardening via dynamic precipitate transformation into the type of matrix precipitate. This combination results in a twofold enhancement of strength and uniform ductility, thus suggesting a promising alloy design concept for enhanced mechanical properties in developing various ultrastrong metallic materials.