Arcadia was established soon after the 1889 Land Run and drew both white and African American cotton farmers, who named the land after the Greek town of Arcadia.

It was only incorporated in 1987.

Although best known for its Round Barn, which has become a Route 66 landmark, Arcadia had many parts of it which were inhabited by freed slaves looking for a new life in Oklahoma. In 1910, a separate school was started for blacks.