Herein, silicon nanoparticles (SiNPs) are coated with conducting hydrogel and wrapped with reduced graphene oxide (rGO) sheets via a facile and scalable solution-based sol-gel process. The in-situ polymerized polypyrrole (PPy) hydrogel forms an interconnected three-dimensional (3D) fiber matrix. Amine and hydroxyl groups from the hydrogel assist the encapsulation of the SiNPs through hydrogen bonding. The electro-conductive PPy fiber network and the wrapping of rGO offer efficient electron and ion transport pathways. The PPy/SiNPs/rGO electrodes can produce highly reversible capacities of 1312, 1285 and 1066 mAh g-1 at 100, 250 and 500 cycles at a current density of 2.1 A g-1, respectively.