The straightforward synthesis of a class of nitrogen-based phase-transfer catalysts (PTCs) having markedly dissociated anions due to interionic donor鈥揹onor 鈥渋on pair strain鈥?and use for catalyzing benzylation and benzylic fluorination is reported. Provided also is insight into the bonding of disubstituted N- vs so-called divalent carbene-stablized NI-centered cations and the unprecedented finding of a cyclopropenium based C鈥揌路路路蟺aryl interaction.