According to Mahabharatha, Maharishi Vyas and his disciples and sage Viswamitra decided to settle down in a cool and serene atmosphere after the Kurukshetra War.

Since Maharishi Vyasa spent considerable time in prayers, the place was then called "Vasara" and turned into Basara due to the influence of the Marathi language in this region.

Historically, 'Bijialudu' a Karnataka king, who ruled the province of Nandagiri with Nanded as his capital in the sixth century, constructed the temple at Basara.

In the 17th century, the idols of the temple were reinstated by a chieftain of Nandagiri (Nanded) subsequent to destruction caused by Muslim invaders.

[3] Many pilgrims come to Gnana Saraswati Temple Basara to perform the "Akshara abhyasam" ceremony for the children before they start formal school education.