Mongolia, a landlocked country of the Central Asian plateau, is experiencing a significant modification of herding practices coupled with an increase in livestock numbers. These modifications lead to increasing impacts of grazing on the Mongolian steppes with major consequences on the waterbodies. We researched the impacts of grazing intensity on the streams of the Great Lakes Depression in northwestern Mongolia. We assessed the level of watershed and stream bank erosion and the type of vegetation structure. We calculated the livestock densities per watershed and linked them to the stream water discharge through a new metric (I(CU)). I(CU) was created as a function of cattle unit density and water discharge, having water discharge at a stream section reflecting its location in the drainage and therefore accounting for the surface area drained upstream. We measured also the major nutrients in the stream water and researched the causalities between the grazing and the impairment of watersheds and streams. Our results suggest that the increase of livestock numbers is reaching beyond the grassland and affecting the stream ecosystem. Two major impacts were highlighted by this study, 1) the extensive watershed and stream bank erosion and 2) the increase in concentration of suspended particles and orthophosphate in stream systems. When compared with past values from literature, our results show recent eutrophication of the streams compared to the pre-liberalization of the herding activity in Mongolia (before 1991). Consequently the continued uncontrolled increase of livestock numbers could threaten the conservation of the Mongolian waterbodies, with notable consequences on the life of the nomadic population of the Central Asian Plateau.