[7][8] The origins of mining on Sado are unknown; however, surface deposits of native gold and argentite in quartz substrate have been known since at least the Heian period.

In the Heian period Konjaku Monogatarishū (Tales of Ancient and Modern Japan), there is an anecdote about a trip to Sado Province to mine for gold sand.

[9] A chief iron sand miner in Noto Province said that there was no other place where gold could be extracted as well as on Sado Island.

That same year, a gold vein was discovered in Kinpokusan, and throughout the Edo period, the mine became a crucial source of revenue for the Tokugawa shogunate, especially during the first half of the 17th century.

However, by the later half of the Edo period, extraction was becoming increasingly difficult due to water ingression from natural springs and into the tunnels following veins of ore underneath the seabed.

The shogunate supplemented the local workforce by bringing in convicted criminals and indigents from the streets of Edo.

In 1885, the government aimed to further increase production to transition to a modern monetary system based on the gold standard.

This involved the excavation of the Takatō (高任) shaft, the construction of the Kitazawa flotation plant (北沢浮遊選鉱場) using new German technology, and the improvement of Ōma Port.

Production continued to increase thereafter, and particularly after the 1931 Mukden incident, which led to an expansion of warfare on the Chinese mainland, the demand for gold as a means of settling payments for large quantities of military supplies grew.

By 1940, the mine achieved its highest historical production, producing approximately 1,500 kg of gold and about 25 tons of silver annually.

In February 1939, the Sado Mine first recruited workers on the Korean Peninsula to fill the shortage of Japanese laborers for the draft.

[13] Between February 1939 and the last recruitment in March 1945, a total of 1,200 Korean workers came to the Sado Mine (not including their accompanying families).

The Sado gold mine was designated a National Historic Site of Japan in 1994, with the area under protection expanded in 2017.

[17] In 2024, it was recognised as a World Heritage Site by UNESCO, with Japan agreeing to provide a "full explanation" of its history to overcome official protests from South Korea.

[18] Other sources noted that the compromise among the Japanese administration of Fumio Kishida and Korean administration of Yoon Suk Yeol removed any direct reference to the usage of forced Korean labor, effectively distorting the history of the site for political gain.

[19][20] On 24 November 2024 Japanese officials held a memorial ceremony at the Sado Island Gold Mines.