The Royals entered the AL in 1969 as the Royals and have been named so ever since. But, before the Royals, the Athletics moved to Kansas City in 1955 and stayed until they left for Oakland in 1968.
The Kansas City Monarchs were in Kansas City in 1951. This was the Negro League team of Jackie Robinson fame.
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Since 1899 there's been a Livestock show in Kansas City that started as a cattle show and eventually called the American Royal Livestock Show. When Major League Baseball decided to add a team in Kansas City during the 1969 expansion they decided to take the time "Royals" from the Livestock show.
The Kansas City Royals were one of two expansion franchises to join the American League during the 1969 season. The other was the Seattle Pilots, who relocated after one year and became the Milwaukee Brewers.