As a traditional ethnic medicine with a long history, Tibetan medicine still has great clinical value today. Tibetan Buddhism played an extremely important role during the development of Tibetan medicine. Closely related to the introduction of ancient Indian Ayurvedic medicine to Tibet, Tibetan Buddhism laid the foundation of the basic theory of the balance between the three factors and seven substances of Tibetan medicine. The celestial burial ceremony was convenient for anatomical research, and the emphasis on medical knowledge during the education of monks further promoted the development of Tibetan medical education. However, Tibetan Buddhism also introduced special religious characteristics to traditional Tibetan medicine and has had complex influence on the long-term development of ancient Tibetan medicine.