The Icelandic Order of the Falcon was established in 1921 by king Christian X of Denmark and Iceland. The order drafted new statutes July 11, 1944 upon Icelandic independence.

The order can be awarded to both Icelanders and foreigners for service to Iceland or humanity.

The President of Iceland is the Grand Master of the order. There are four classes of the order: Grand Cross, Commander with a Star, Commander, and Knight. The insignia is retained by the awardee during his/her lifetime after which it must be returned to the Icelandic Government.

Some Recipients