Imane Khelif is now guaranteed a medal in the women's 66kg category after defeating Luca Hamori in the quarter-finals.
The Algerian boxer was in tears as she exited the ring and celebrated with her team.
Khelif has faced heavy abuse online following her victory over Italian boxer Angela Carini earlier this week.
She was one of two female boxers cleared by the International Olympics Committee (IOC) to compete in the women's category at the Paris Olympics despite being disqualified from last year's world championships, which was ran by banned governing body International Boxing Association (IBA).
Imane Khelif is through to the semi-finals
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Khelif and Chinese Taipei boxer Lin Yu-ting failed unspecified eligibility tests ran by the Russian-led organisation.
But the IOC have repeatedly stated there is no doubt that the boxers are women and hit out at the 'totally unacceptable hate speech' aimed at the two fighters.
Khelif stepped into the ring on Saturday for her quarter-final bout against Hamori with plenty of support in the stands.
Algerian fans packed out an entire stand in the arena with their country's flag in full display.
Hamori, who felt it wasn't 'fair' that Khelif was able to compete, also had strong support in the highly-charged setting.
Both fighters settled into a rhythm early on but it was Khelif who managed to take the first round with five greens on the scorecard.
Hamori was then on the backfoot after Khelif took another unaminous second round.
There was drama in the final round when Khelif was docked a point by the referee after both fighters fell to the floor for grappling.
Imane Khelif was in tears as she left the ring
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The 25-year-old appeared confused as to why she was penalised, holding her hands out wide before the fight resumed.
But it wasn't enough for Hamori to pull off an unlikely comeback as Khelif was declared the winner by unaminous decision.
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Imane Khelif roared in celebration after her win
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Hamori and Khelif shook hands in the ring and shared some words in a show of respect between the two fighters.
Khelif managed to keep her emotions under wraps before slapping the canvas and letting out a huge roar and bursting into tears as she hugged her team.
Khelif will now face Janjaem Suwannapheng in the semi-finals, with both boxers already guaranteed at least a bronze medal.