Returning home to Kentucky, Clark organized the Louisville Jockey Club to raise money for building quality racing facilities just outside the city. The track would soon become known as Churchill Downs, named for John and Henry Churchill, who provided the land for the racetrack. The naming went official in 1937.

 The Kentucky Derby was first run at 1 1/2 miles (12 furlongs; 2.4 km) the same distance as the Epsom Derby, before changing lengths in 1896 to its current 1 1/4 miles (10 furlongs; 2 km). On May 17, 1875, in front of an estimated crowd of 10,000 people, a field of 15 three-year-old horses contested the first Derby.

Under jockey Oliver Lewis, a colt named Aristides, who was trained by future Hall of Famer Ansel Williamson, won the inaugural Derby. Later that year, Lewis rode Aristides to a second-place finish in the Belmont Stakes.

Although the first race meeting proved a success, the track ran into financial difficulties, and in 1894 the New Louisville Jockey Club was incorporated with the new capitalization and improved facilities. Despite this, the business floundered until 1902 when Col.

Matt Winn of Louisville put together a syndicate of businessmen to acquire the facility. Under Winn, Churchill Downs prospered, and the Kentucky Derby then became the preeminent stakes race for three-year-old thoroughbred horses in North America.

Thoroughbred owners began sending their successful Derby horses to compete in two other races. These two are the Preakness Stakes at the Pimlico Race Course, in Baltimore, Maryland, and the Belmont Stakes in Elmont, New York. The three races offered large purses, and in 1919 Sir Barton became the first horse to win all three races.

However, the term Triple Crown didn't come into use for another eleven years. In 1930, when Gallant Fox became the second horse to win all three races, sportswriter Charles Hatton brought the phrase into American usage. Fueled by the media, public interest in the possibility of a "superhorse" that could win the Triple Crown began in the weeks leading up to the Derby.

Two years after the term went in use, the race (until that time ran in mid-May since inception) changed the date to the first Saturday in May. This change allows for a specific schedule for the Triple Crown races. Since 1931, the order of Triple Crown races has been the Kentucky Derby first, followed by the Preakness Stakes and then the Belmont Stakes. Before 1931, eleven times the Preakness was run before the Derby.

On May 12, 1917, and again on May 13, 1922, the Preakness and the Derby took place on the same day. On eleven occasions the Belmont Stakes was run before the Preakness Stakes.

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