According to the legend and the preface to Mukachevo chronicles, the monastery was founded in the XIth century. According to another ancient legend, Mukachevo St. Nicholas Monastery was founded back before 1242. Documentary evidence about the existence of the monastery dates back to the XIVth century. Since 1491 the monastery became the residence of Zakarpattia Orthodox bishops who united the whole Zakarpattia into the Mukachevo diocese. Monks were translating book at the monastery. A school was also founded. A large library was affiliated with the monastery (over 6,000 rare books and manuscripts) as well as an archive. In 1946-1947, after the occupation of Zakarpattia by the Soviet army, the monastery was handed over to the Orthodox Church of Moscow Patriarchate, it became a convent.