Around 1884, Louis Eholt obtained a preemption that as a popular stopping place for travellers became known geographically as Eholt's. (A railway junction called Eholt later arose 17.8 miles (28.6 km) to the east.)
In 1893, Capt. Robert C. Adams purchased the property and created the townsite subdivision. The initial name was Boundary Creek or Boundary City, but this had changed to Midway by 1895. Adams never provided a rational reason for the new name. The generally accepted explanation is that the village lies approximately midway between the Pacific Ocean and the Rocky Mountains. A less plausible theory is that he named it after Midway Plaisance at the Chicago World Fair of 1893.[4][5]: 174
The post office and school opened in 1894.[4] A provincial police constable was stationed from 1895.[8] During the mining boom the population peaked at around 700 in 1895,[9] falling to around 200–250 from the late 1890s,[10][11] and 100 by the late 1910s.[12]
In 1908, two masked bandits murdered Charles L. Thomet, a hotel proprietor.[13] Despite a $1,000 reward,[14] no suspects were brought to trial.[15][16]
In the 2021 Census of Population conducted by Statistics Canada, Midway had a population of 651 living in 324 of its 340 total private dwellings, a change of 0.3% from its 2016 population of 649. With a land area of 12.23 km2 (4.72 sq mi), it had a population density of 53.2/km2 (137.9/sq mi) in 2021.[17]
Midway's local government consists of a mayor and four councillors elected to four year terms. The current mayor is Martin Fromme. The councillors are Dick Dunsdon, Darrin Metcalf, Fred Grouette, and Gary Schierbeck. James McMynn, Midway's first mayor, was the longest-serving mayor in Canada, retiring after 38 years.
Midway is Mile Zero of the Kettle Valley Rail Trail, a popular wilderness cycling trail which follows the rail bed of the old Kettle Valley Railroad. At the trail's start, the Village of Midway operates the Kettle Valley Museum which highlights the life of early Boundary Country settlers. Notable museum features include a windmill from the Bubar farm that was originally purchased from the T. Eaton Co.
Construction of a bunk house has been started. When complete, the bunkhouse will offer accommodations for cyclists using the trail.
The Midway Curling Club is a popular destination for Boundary Area curlers. A hockey rink next door is popular with local youth. The curling rink is home to the Boundary District Curling Club Across the street from the curling rink and arena is McMynn park, a large green space which hosts many ball tournaments and picnics.
Adjacent to the Boundary Central Secondary School is a park in which two trees have grown together after being entwined together when the village was young. The trees were joined together by Sinixt people as a symbol of the International Boundary Line dividing their people and territory. A plaque at the site reads: When the International Boundary Line was being surveyed in 1857-1861, the major portion of the large Indian band then living in this area then moved to the reservation in Colville, Washington. One of the Indians entwined two saplings, saying "Though divided we are united still - We are one."[citation needed]
Tubing the Kettle River is a popular summer activity, and the village maintains a stock of inner tubes at Frank Carpenter Memorial Park. The park is also a local campground, and is particularly popular with rv owners traveling through.
Midway features a grass airstrip known as Midway Aerodrome which is suitable for small planes. Hangars were added in 2005 to the airstrip. Plans exist for a paved runway, but the completion date is uncertain at this point.
Midway is also a host to ever growing music festival, named The Groove Music Festival.