The term "Parihasapora," which was frequently used in ancient literature to refer to the Parihaspora, has great historical and archaeological significance. The town, which was established by Lalitaditya Muktapida of the Karkota dynasty, was a thriving hub for art, politics, and religion in mediaeval Kashmir. During his rule (724–760 CE), Lalitaditya is renowned for his bold architectural designs and his military conquests, which spread as far as Central Asia. The king constructed a number of impressive buildings at Parihaspora, including palatial complexes and temples honouring deities Vishnu and Shiva. However, because of centuries of neglect and natural disasters, majority of these buildings are now in ruins.