Abstract.In the course of transplantation studies using tooth germs from isologous mice, it was shown that as the tooth germs developed to form teeth, cysts also formed in the epithelium of the enamel organs. It was found that, these cysts were producing keratin. Cysts developed in association with all the developing tooth germs, and by 120 days post‐transplantation many of the cysts had completely enveloped the crowns of the developing teeth. It has been clearly demonstrated that in addition to enamel production, tooth germ epithelium is capable of cystic change and keratin formation. As many histological similarities exist between the experimentally induced keratin producing cysts and human odontogenic keratocysts, it is suggested that the development of the experimentally induced cysts from enamel organs actively involved in amelogenesis may be of direct significance to the etiology of human odontogenic keratocyst