Quantum anomalous Hall (QAH) effect in magnetic topological insulator (TI) is a novel transport phenomenon in which the Hall resistance reaches the quantum plateau in the absence of external magnetic field 1-3. Recently, this exotic effect has been discovered experimentally in an ultrathin film of the Bi 2 Te 3 family TI with spontaneous ferromagnetic (FM) order 3-6. An important question concerning the QAH state is whether it is simply a zero-magnetic-field version of the quantum Hall (QH) effect, or if there is new physics beyond the conventional paradigm. Here we report experimental investigations on the quantum phase transition between the two opposite Hall plateaus of a QAH insulator caused by magnetization reversal. We observe a well-defined plateau with zero Hall conductivity over a range of magnetic field around coercivity, consistent with a recent theoretical prediction 7. The features of the zero Hall plateau are shown to be closely related to that of the QAH effect, but its temperature evolution exhibits quantitative differences from the network model for conventional QH plateau transition 8. We propose that the chiral edge states residing at the magnetic domain boundaries, which are unique to a QAH insulator, are responsible for the zero Hall plateau. The rich magnetic domain dynamics makes the QAH effect a distinctive class of quantum phenomenon that may find novel applications in spintronics. The realization of QAH effect requires that a two-dimensional (2D) material must be FM, topological, and insulating simultaneously 9. Magnetically doped TIs have been proposed 1, 2, 10-12 and experimentally proved 3-6 to be an ideal material system for fulfilling these stringent requirements. For a 3D TI, the inverted bulk band structure ensures topologically protected metallic surface states (SSs), which become 2D when the film is sufficiently thin 13. The spontaneous FM order induced by magnetic doping not only leads to the anomalous Hall effect, but also opens an energy gap at the Dirac point. When the Fermi level (E F) lies within this gap, the only remaining conduction channel is the quasi-one-dimensional chiral edge state, which gives rise to quantized Hall resistance and vanishing longitudinal resistance at zero magnetic field 3, 14. Up to date, the QAH effect has been observed in Cr or V doped (Bi,Sb) 2 Te 3 TI thin films with accurately controlled chemical composition and thickness grown by molecular beam epitaxy (MBE) 3-6. The MBE-grown QAH insulator film studied here has a chemical formula Cr 0.23 (Bi 0.4 Sb 0.6) 1.77 Te 3 and thickness d = 5 QL (quintuple layer). Shown in Fig. 1a is a schematic drawing of the transport device, which is similar to that reported previously 3. The film is manually scratched into a Hall bar geometry, and the SrTiO 3 substrate is used as the bottom gate oxide due to its large dielectric constant at low temperature. The Cr concentration, hence the density of local moment, is higher than that in the sample where the QAH effect was originally discovered 3. As a result, the...