A self-proclaimed monarchy is established when a person claims a monarchy without any historical ties to a previous dynasty. In many cases, this would make them a pretender to the throne. The self-proclaimed monarch may be of an established state, such as Zog I of Albania, or of a micronation, such as Leonard Casley of Hutt River, Western Australia.

A monarch is a head of state for life or until abdication, and therefore the head of state of a monarchy. A monarch may exercise the highest authority and power in the state, or others may wield that power on behalf of the monarch. Usually a monarch either personally inherits the lawful right to exercise the state's sovereign rights or is selected by an established process from a family or cohort eligible to provide the nation's monarch. Alternatively, an individual may proclaim oneself monarch, which may be backed and legitimated through acclamation, right of conquest or a combination of means.