The hamlet was established consequence of the merluza boom of the late 1980s.

[1] Some early settlers arrived to Gala escaping persecution from the military dictatorship of Pinochet as they lacked the resources to flee abroad.

[2] Other early settlers were delinquents who feared torture or death by the authorities.

[2] There was a distinct lack of rule of law in the first decades of existence, with police being unable to prevent theft or murder limiting themselves to recover corpses.

[2] Overexploitation led eventually the government to put a ban on merluza fishing leading to unemployment and the return to Chiloé of some settlers.