[4] The name of the lake is not due to its shape, rather, is derived from translation from the Ojibwe name waaswaaganing meaning "Place of Torches" or "Place of Flames", referring to the practice of the local Native American population who once used torches at night to attract fish for harvesting with spears and nets (Lac du Flambeau in Wisconsin is named after the same Ojibwa term).

[5] For a time, it was referred to by local European settlers as "Torch Light Lake", which eventually was shortened to its current name.

However, the southern shore of the lake serves as part of the actual border between Antrim and Kalkaska counties.

The lake is known for nature activities including hiking, canoeing, fishing and diving.

This quality has made the lake a popular spot for the development of resorts and second homes with notables including Taylor Swift, Oprah Winfrey, Kid Rock, Michael Moore and Eminem owning vacation homes on the lake.