The aim of this work was preparation, deposition and characterization of bioactive forsterite coating by sol–gel technique, for biomedical applications such as implants used in dental and orthopedic applications. Forsterite powders were made by sol–gel method. Bioactive forsterite coating was coated on 316L stainless steel (SS) substrate by sol–gel technique. Structural characterization procedures including XRD, SEM and EDX were used to investigate the microstructure and morphology of the coating. Electrochemical potentiodynamic polarization tests were performed in the simulated body fluid solutions at 27 ?C in order to determine and to compare the corrosion behavior of the forsterite coated SS and uncoated specimens as an indication of biocompatibility. The corrosion tests were carried out before and after heat treatment in order to evaluate the effect of heat treatment temperatures on Stainless steel 316L. The forsterite coating was immersed in the simulated body fluid (SBF) solution. Crack-free and homogeneous forsterite coatings were obtained. The forsterite crystalline size was less than 100 nanometers which was necessary for better bioactivity, and preparing a homogeneous coating. The formation of apatite layer in biocompability tests confirmed the bioactivity of the forsterite coating. The forsterite coating also improved corrosion resistance of the 316L SS substrates. The corrosion current density of the coated samples was lower than that for uncoated samples. Results showed that the nanostructured forsterite coating was bioactive and biocompatible. It was concluded that the sol–gel forsterite coating could improve the corrosion behavior of dental and orthopedic metallic implants. Keyword : Characterization, Forsterite, 316L, Crystalline Size, Corrosion, Biocompatibility.