Daydosha was discovered by scout probe early in the Republican expansion period, approximately nine thousand years ago. A mistake, or perhaps the greed of a Republic Scout Corps analyst eager for promotion or a bonus, led to the world's classification as "temperate". Thus, the first colony ships that arrived were ill-prepared for the harsh conditions and ice storms that prevailed. Indeed, the insufficiently reinforced communications equipment catastrophically failed after only a few weeks of operation, leading, again mistakenly, to the world being classified as uninhabitable and the colonists lost. This prevented the Daydoshan colonists from participating in the rush for trade route contracts that followed each early expansion period, leaving the world in limbo and far from any heavily trafficked area that might bring development money to the snowy planet. (One of the colony ships that survived was full of Sullustan colonists, with the result that even present-day Daydosha is 20% of that species.)

As a result, development was slow. Colonists quickly discovered the underground style of architecture that would characterize Daydoshan settlements and mining and industrial concerns sprang up. These corporations appointed a ruling council, who selected a Baron, the title of the leader that the planet has followed to this day.

The first large-scale public heatsink on the planet, which permitted even the light urbanization of certain trade centers under the surface of Daydosha was constructed by the Republic, but by the time Palpatine came to the Senate for the first time, the Barony held control of all the heatsinks, whether publically or privately constructed, and operated them in the manner of a relatively benevolent extortion ring. When Palpatine was declared Emperor, the pretense of the benevolence slowly fell away and Baron Nichola Dietrich became in fact, if not in title, the Imperial Governor of Daydosha.

The unofficial nature of his relationship with the Empire benefitted both Dietrich and the Empire. He could continue to profess his independence to the populace who, unsure of his motives, were content to keep paying their taxes to keep the heatsinks running, and influential Imperial officials were happy to have an isolated planet whose enterprises could be counted on to safely launder their bribe money. Intentionally lax customs enforcement permitted both illicit and legal trade houses of Daydosha to thrive.

Interestingly, in the years just before the explosion of the Separatist Wars, researchers discovered that the Republican explorers were not the first intelligent inhabitants of Daydosha. Beneath the ice sheets, perfectly preserved, were the remains of temples, tunnels, homes, palaces, and even vehicles for a race of humanoids previously unknown. Work was never resumed on these finds after the wartime financial crunch resulted in slashed university budgets and the end of expeditionary grants.

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