The modern town was founded as New or Nye-Maniitsoq in 1782 by Danish colonists relocating from the original Sukkertoppen, a trading post founded in 1755 at the site of present-day Kangaamiut. In time, the original name was taken up again.

In the 19th century, the town served as a major trading post for the Royal Greenland Trading Department's trade in reindeer