The Order of the Oak Crown was established in 1841 by Grand Duke William II, who was also King of the Netherlands.

His successor, William III, liked the ability to confer membership of this order at his sole discretion, and awarded 300 decorations on the day of his investiture alone.

Indeed, there were so many recipients in the Kingdom of the Netherlands itself that the order was widely (and falsely) regarded as a Dutch honour.

At the same occasion, he established the Order of the Oak Crown with the idea to be able to reward loyal supporters of his regime in liberal-minded Luxembourg.

This was probably due to the fact that William II was married to a daughter of Emperor Paul I of Russia, and that he had received the Order of St. George for his meritorious command in the Battle of Waterloo.