In the late 3rd century BC, Modu Shanyu (King) established the Hun Empire in Central Asia. By 198 BC, the Han Dynasty recognized their territory, which stretched from the Great Wall of China to Lake Baikal and from the Il Tarvagatai mountain ranges in the west to Korea in the east.

Although historical chronicles and historians do not formally recognize the union of Mongol tribes as a state, the economic, political, and social system of the Huns can be viewed as the first formation of a Mongol tribal state. The Huns engaged in constant warfare with their neighbors and established the center of their civilization, the Hun Empire, in the vast plains of Central Asia. In the 4th century, the Huns migrated to Eastern Europe.

Attila, King of the Huns, who founded the Northern Hun state, became the most celebrated invader of the Roman Empire. He earned the epithet "the Scourge of God."

In human history, two styles of civilization emerge: sedentary and nomadic. With the formation of the Hun Empire, nomadism flourished on what is today Mongolian territory. During the reign of Modu the Hun, the empire was divided into three parts: the center was under the direct command of the King, while the eastern and western regions were governed by Princes. These three parts were further subdivided into units of 10,000, 1,000, 100, and 10. This innovative organizational system would later be adopted by Genghis Khan in the creation of the Mongol Empire.

During the Hun era, the culture of the Mongol tribes developed significantly. Mongol arts, music, astronomy, and astrology flourished, and the Huns introduced the lunar calendar of twelve months. Mongolian historians recognize the Hun Empire as the first state formed in Central Asia. This state became the primary center of nomadism. Numerous remains of their civilization have been discovered throughout Mongolia.