AbstractMicroRNA (miRNA) biogenesis is tightly regulated to maintain distinct miRNA expression patterns. Almost half of mammalian miRNAs are generated from miRNA clusters, but this process is not well understood. We show here that Serine‐arginine rich splicing factor 3 (SRSF3) controls the processing of miR‐17‐92 cluster miRNAs in pluripotent and cancer cells. SRSF3 binding to multiple CNNC motifs downstream of Drosha cleavage sites within miR‐17‐92 is required for the efficient processing of the cluster. SRSF3 depletion specifically compromises the processing of two paralog miRNAs, miR‐17 and miR‐20a. In addition to SRSF3 binding to the CNNC sites, the SRSF3 RS‐domain is essential for miR‐17‐92 processing. SHAPE‐MaP probing demonstrates that SRSF3 binding disrupts local and distant base pairing, resulting in global changes in miR‐17‐92 RNA structure. Our data suggest a model where SRSF3 binding, and potentially its RS‐domain interactions, may facilitate an RNA structure that promotes miR‐17‐92 processing. SRSF3‐mediated increase in miR‐17/20a levels inhibits the cell cycle inhibitor p21, promoting self‐renewal in normal and cancer cells. The SRSF3‐miR‐17‐92‐p21 pathway operates in colorectal cancer, linking SRSF3‐mediated pri‐miRNA processing and cancer pathogenesis.