An integrated process for making di-functional or multi-functional molecules with concurrent light paraffin upgrading is disclosed. The process involves three primary steps: (1) oxidation of an iso-paraffin to alkyl hydroperoxide and alcohol; (2) converting the alkyl hydroperoxide and alcohol to dialkyl peroxide; and (3) coupling functional molecules into di-functional or multi-functional molecules using the dialkyl peroxide as a radical initiator, while the dialkyl peroxide is converted to a tertiary alcohol. The functional molecules include any functional molecule R—X, where R is a hydrocarbyl group and X is a functional group such as —OH, —CN, —C(O)OH, —NH—, or the like.