The history of Madmaheshwar Temple is intertwined with the legend of the Panch Kedar. According to Hindu mythology, after the Kurukshetra war, the Pandavas sought atonement for their sins by seeking Lord Shiva. To avoid them, Shiva transformed himself into a bull and hid in the Garhwal Himalayas. When Bhima, one of the Pandava brothers, tried to catch the bull, it disappeared into the earth, leaving behind different body parts at five different locations, which are now revered as the Panch Kedar temples. Madmaheshwar is where the navel (belly) of Lord Shiva is believed to have appeared. The temple is believed to have been built by the Pandavas themselves. Over the centuries, it has been renovated and maintained by various rulers and devotees, preserving its sanctity and architectural heritage.