This study aims to determine the religious moderation hadith that focuses on tolerance between religious communities, asbab al wurud hadith and the relevance of moderated hadith in Indonesia. The type of research used is library research or library research. Primary sources are the hadith books of Bukhari, Muslim, and Musnad Ahmad. The data analysis technique used inductive analysis and descriptive analytic. The results of the study show that in the hadith of the Prophet Muhammad SAW, there are traditions of religious moderation in religious tolerance which are also practiced by friends and tabi'in. But historically, tolerance between religious communities is more about muamalah, not in terms of worship. To build a moderate understanding of Islam, it is necessary to review the understanding of religious texts (al-Qur'an and hadith) as well as social conditions at the time the verses of the Qur'an and hadith were revealed. A dynamic, progressive, and tolerant understanding is needed in the variety of religions and cultures that exist in Indonesia. Correlated texts and realities are two inseparable things in achieving religious moderation, so that an understanding emerges that moderation in Islam is a noble teaching.