The museum grew out of an interest in penises that began during Sigurður's childhood when he was given a cattle whip made from a bull's penis.

In July 2011, the museum obtained its first human penis, one of many promised by would-be donors. Its detachment from the donor's body did not go according to plan and it was reduced to a greyish-brown shriveled mass that was pickled in a jar of formalin.

The collection also features phallic art and crafts such as lampshades made from the scrotums of bulls.