[Background] Bayinbuluke grassland in Xinjiang is the second largest alpine grassland in China. There is a kind of white mushroom (Tricholoma mongolicum) that grows on the grassland belongs to Tricholoma, which can form a typical mushroom ring. [Objective] In order to understand the species composition and community structure of fungi around the mushroom ring, and provide a theoretical basis for study the formation and growth of mushroom circle and its fruiting body. [Methods] We utilized high-throughput sequencing technology through Illumina HiSeq system to analyze the species richness and microbial structure diversity of the mushroom fungus. [Results] The valid sequences were annotated into 809 OTUs, and they were divided into 5 phyla, 26 classes, 79 orders, 166 families, and 232 genera. The species richness, community structure diversity and specific species on the mushroom ring are lower than those outside the circle and within the circle. There are some special species on the fairy ring, such as Xylodon nothofagi, Agaricales, Phaeococcomyces, Ochrocladosporium adansoniae, Coniochaeta ligniaria, Tomentella amyloapiculata, Dothideomycetes, Incertea_sedis_Helotiales. [Conclusion] This study showed that the formation of mushroom rings affected the distribution of soil fungi, and the dominant fungal group on the circle had inhibitory effects on other fungal groups. The outcrop growth of mushroom rings may be related to the imbalance of microbial community structure.