For grid-connected or interconnected microgrids, the transition to an autonomous and decentralized architecture was hampered by two perplexing issues: how to guarantee voltage-supporting capacity, while fully and controllably utilizing local power generation, and how to switch between islanded and grid-connected modes flexibly and seamlessly. Through a combination of benefits of interlinking converters and switches, the flexible transfer converters (FTCs), positioned at the interfaces between the utility grid and microgrids, are offered as a solution in this article. The basic concepts and classifications of the FTC are first presented, and a general-purpose FTC and a universal control strategy for distributed generations are then proposed as an example, which contribute to appropriate power dispatch and flexible mode transfer in a communication-free design, leading to a fully autonomous microgrid. Simple and economic operation rules, as well as high interoperability with existing assets, makes this solution promising for distributed microgrid applications. Further, generalized small-signal models of the target system are derived for stability analysis and parameter design. Finally, comprehensive case studies in simulations and experiments are provided to validate its effectiveness.