Amsterdam Pipe Museum was founded by amateur archaeologist, Don Duco, with a collection of Dutch clay pipes recovered from the Keizersgracht, Amsterdam, in 1969. The collection was first exhibited in 1975 at the back of Galerie Icon in Amsterdam, in a room called the Pijpenkamer. In 1982, the exhibition space moved to Leiden, was renamed the Pijpenkabinet, and was enhanced with a collection of Gouda pipes, characterised by their radiant white colour and intricate engravings.

The museum has grown by enriching its collection with a compilation of French figural pipes from the 19th century, and curios sourced from pre-Columbian America, Africa, and Asia. In 1995, the museum moved into an open canal house in Amsterdam, and in 2013 it adopted its new name. The house provides ample room to permanently showcase the 2000 meticulously crafted objects, illustrating a detailed history of how smoking culture and craft have evolved hand-in-hand.