The Name and where did it come from?
There are Two Theories on how Chili was named!

The First Theory
That it was named after Chile, South America by local people sympathetic to its cause during Chile’s struggle for independence.  The name Chile was somehow mispronounced and called Chili. Early authors, when using this theory always qualified their statements with maybe, perhaps, possibly, and etc.

The Second Theory
Was that the Town of Chili was named after the Chiliast, or Chilian religion. They believe in the millenarian theory. This was the religion of some of the earliest settlers in the South Chili area. The came from Pennsylvania, and were of German, Dutch, and Flemish Origins. They believed in a thousand years of peace and the returning of the Lord. Chil, meaning one thousand. They were often known as those ____ Chilians. There are may times when we are still referred to in the same way today.

Peter Widener
Chili Town Historian

Chiliasm: First document :1610-1640.