Many stories circulate about the invention of the candy cane as a religious symbol of the Christmas season. However, the confection did not appear in its current striped and hooked form until early in the 20th century. The first incarnation of the candy cane was a straight white stick, first invented in the 17th century as a decoration for Christmas trees.

A popular legend holds that a candy maker created the candy cane to resemble a "J" for Jesus, or a shepherd's crook when held the other way. The white candy is said to symbolize Jesus' purity, or the virgin birth. The three small red stripes are a reminder of the scourging that Christ received before His crucifixion, and the large single stripe is a symbol of the blood He shed. The peppermint flavor is similar to that of an herb called hyssop, featured in purification rites described in the Old Testament.

While the candy cane holds these connotations for many Christians, they were not the original inspiration for the holiday treat. The candy cane was initially a simple decoration for Christmas trees. In 1670, the choirmaster of Cologne Cathedral had the idea of bending the candy into the shape of shepherd's crooks in order to add a religious connotation and handed the treats out to children during Mass. For nearly 200 years, the candy cane was white and flavored only with sugar.

The candy cane remained pure white until the 1920s, when confectioner Bob McCormick of Albany, Georgia added the well-known red stripes. Red-striped peppermint candy first appeared in the mid-19th century in the Swedish town of Granna, and McCormick may have been inspired by these treats. The red and white candy canes were hand-twisted at first, and the process was mechanized in the 1950s. "Bob's Candies" is still the best-selling manufacturer of the candy cane.

Today, candy canes are available in a plethora of colors and flavors other than the traditional red-and-white peppermint. They are still a holiday favorite, but are enjoyed by Christians and non-Christians year-round.