Lhalung Gon is said to have been first established by Lhalung Pelgyi Dorje, the eighth-century assassin of King Langdarma. In 1154, the First Karmapa, Dusum Khyenpa, developed the site into a monastery, and in the sixteenth century it was taken as a seat by the Second Pawo, Tsuklak Trengwa. It served as the seat of the Pawo lineage until 1673 or 1674, when the Fifth Pawo, Trinle Gyatso, moved his seat to Nenang Monastery. Currently a Nyingma monastery, it was given to the Third Peling Sungtrul by the Fifth Dalai Lama and is the seat of that line of incarnations, as well as the Peling Tukse line, two of the three primary lines of Pema Lingpa.