DNA methylation regulates gene transcription and is involved in various physiological processes in mammals, including development and hematopoiesis. It is catalyzed by DNA methyltransferases including Dnmt1, Dnmt3a, and Dnmt3b. For Dnmt3b, its effects on transcription can result from its own DNA methylase activity, the recruitment of other Dnmts to mediate methylation, or transcription repression in a methylation-independent manner. Low-frequency mutations in human DNMT3B are found in hematologic malignancies including cutaneous T-cell lymphomas, hairy cell leukemia, and diffuse large B-cell lymphomas. Moreover, Dnmt3b is a tumor suppressor in oncogene-driven lymphoid and myeloid malignancies in mice. However, it is poorly understood how the different Dnmt3b activities contribute to these outcomes. We modulated Dnmt3b activity
in vivo
by generating
Dnmt3b
+/−
mice expressing one
wild-type
allele as well as
Dnmt3b
+/CI
and
Dnmt3b
CI/CI
mice where one or both alleles express catalytically inactive Dnmt3b
CI
. We show that 43% of
Dnmt3b
+/−
mice developed T-cell lymphomas, chronic lymphocytic leukemia, and myeloproliferation over 18 months, thus resembling phenotypes previously observed in
Dnmt3a
+/−
mice, possibly through regulation of shared target genes. Interestingly,
Dnmt3b
+/CI
and
Dnmt3b
CI/CI
mice survived postnatal development and were affected by B-cell rather than T-cell malignancies with decreased penetrance. Genome-wide hypomethylation, increased expression of oncogenes such as Jdp2, STAT1, and Trip13, and p53 downregulation were major events contributing to
Dnmt3b
+/−
lymphoma development. We conclude that Dnmt3b catalytic activity is critical to prevent B-cell transformation
in vivo
, whereas accessory and methylation-independent repressive functions are important to prevent T-cell transformation.