The Bogd Khanate of Mongolia was the de facto government of Outer Mongolia between 1911 and 1915 and again from 1921 to 1924. By the spring of 1911, some prominent Mongol nobles including Prince Tögs-Ochiryn Namnansüren persuaded the Jebstundamba Khutukhtu to convene a meeting of nobles and ecclesiastical officials to discuss independence from Qing China. On 30 November 1911 the Mongols established the Temporary Government of Khalkha. On 29 December 1911 the Mongols declared their independence from the collapsing Qing dynasty following the outbreak of the Xinhai Revolution. They installed as theocratic sovereign the 8th Bogd Gegeen, highest authority of Tibetan Buddhism in Mongolia, who took the title Bogd Khan or "Holy Ruler". The Bogd Khaan was last khagan of the Mongols. This ushered in the period of "Theocratic Mongolia", and the realm of the Bogd Khan is usually known as the "Bogd Khanate".

Buddhism is the largest religion in Mongolia practiced by 51.7% of Mongolia's population, according to the 2020 Mongolia census. Buddhism in Mongolia derives much of its recent characteristics from Tibetan Buddhism of the Gelug and Kagyu lineages, but is distinct and presents its own unique characteristics.