Freedom, Star Valley's oldest settlement, straddles the Idaho-Wyoming border. The town was established by Mormons in 1879, and offered an escaped from Idaho Territory's efforts to ban polygamy. Arthur Clark named the town for his freedom to have multiple wives.

Freedom is famous in gun circles for a small factory, Freedom Arms, that makes handguns, including the world's most powerful rifle, the .454 Casull, which sell for $1,100 a piece.