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The Hazratbal shrine is situated on the left bank of the Dal Lake,  It contains a relic, the Moi-e-Muqqadas the sacred hair of a beard,of Prophet  Muhammad  (peace be upon him). The name of the shrine comes from the Arabic word Hazrat, meaning holy or majestic, and the word bal,  meaning place. The Hazratbal mosque is only 7 Kms from Tourist Reception Center, on the western banks of the picturesque Dal Lake. Facing the beautiful Nishat Bagh, the mosque offers a spectacular view of the lake and the mountain afar. Public display of the Moi-e-Muqqadas takes place only on religious occasions.

Its is believed that  the relic was first brought by Syed Abdullah, a descendant of the  prophet Muhammad who left Medina and settled Hyderabad in 1635.[d],after his death the relic passes on to  his son &  He sold it to a wealthy Kashmiri businessman, Khwaja Nur-ud-Din Eshai. But when  Aurangzeb came to know, he seized the Relic and sent to the shrine of Khwaja Moinuddin Chishti at Ajmer, Meanwhile Aurangzeb in his dream is said to have been directed by the Porphet Mohammad Sw ( PBUH) to restore the relic  to the trader. realizing his mistake, Aurangzeb decided to restore the relic to Khwaja Medanish.The Relic intailly placed at Khankah & lkater placed inside the mosque at Hazratbal. All visitors from any caste visit to the shrine to seek the blessing.