Irano-Anatolian and Caucasus biodiversity hotspots, which are characterized by a high degree of alpine endemism and extremely dynamic geographical history, are among the 35 globally defined biodiversity hotspots. However, the dynamics of evolution and the contributors to diversity have not been studied in these areas. To assess the evolutionary dynamics and its cofactors within this area, we used Gypsophila L. (tribe Caryophylleae: Caryophyllaceae) as a model, which is a large and diverse genus of flowering plants with a high degree of endemism in Irano-Anatolian and Caucasus biodiversity hotspots. We used the sequences of nuclear ribosomal internal transcribed spacer (ITS), the chloroplast gene rps16, and the Maturase K gene (matK) for 228 species across the family, including about half of the species diversity inside Gypsophila. To infer the phylogenetic relationship within the Caryophylleae we used Bayesian inference (BI) and maximum parsimony (MP) analyses. We calibrated the phylogenies using the only studied fossil of the family, Caryophylloflora paleogenica G.J.Jord. & Macphail, using BEAST v.1.10.4 and estimated net diversification rates in stem and crown groups using the Magallón & Sanderson method implemented in the R package GEIGER. Then the change in diversification rate and its biotic and abiotic cofactors were tested using a series of time-dependent, trait-dependent, and paleoenvironmental-dependent models implemented in BAMM, R package diversitree, and RPANDA, respectively. The ancestral distribution ranges were also reconstructed using the Bayesian Binary Method (BBM), and Dispersal-Extinction-Cladogenesis model (DEC). We identified a shift in the diversification rate of Gypsophila that started about 3 million years ago and was influenced by both biotic and abiotic forces. Our results suggest that the diversity inside Gypsophila evolved due to evolutionary radiation that was triggered by both paleoenvironmental factors and new morphological novelties. The study demonstrates a highly dynamic evolutionary history across the Caryophylleae clade and Gypsophila, which is consistent with the extensive fluctuation in the geological and climatological history of Irano-Anatolian and Caucasus biodiversity hotspots. This study significantly improves our understanding of the dynamics of evolution in Irano-Anatolian and Caucasus biodiversity hotspots and the impact of environmental changes on the rate of diversification in this area.