Kryštofovo Údolí consists of two municipal parts (in brackets population according to the 2021 census):[2] The name means "Kryštof's valley".

It was probably named after Kryštof of Donín (German: Christoph von Dohna), who owned the area and is one of the possible founders of the village.

The highest point is on the slopes of the Ještěd mountain at 853 m (2,799 ft) above sea level, located in the southern tip of the municipal territory.

The municipal border runs through the peaks and ridges of several other prominent hills, such as Černá hora (811 m), Rozsocha (767 m), Kaliště (745 m), and Malý Ještěd (754 m).

The place arose in a left side valley of the Lusatian Neisse as a charcoal and mining settlement.

According to legends, the settlement was founded in the 15th century by a charcoal burner named Christophorus, but it is proven that the area was not settled in 1518.

The area was then part of the Lemberk estate bought by the advocatus of the Upper Lusatia, Wilhelm von Eilenburg.

In the course of the Counter Reformation after the Thirty Years' War, a large part of the Protestant population left the place and Catholics were settled.

[3] In 1826, the entrepreneurs Siegmund and Neuhäuser from Liberec built a textile factory below Christofsgrund on the Lusatian Neisse.