Under a patent granted by Henry VII in 1496, Cabot sailed from Bristol in 1497 and discovered Newfoundland and Cape Breton Island on the North American coast. His voyages to North America in 1497 and 1498 helped lay the groundwork for Britain's later claim to Canada.

It was believed that the ships had been caught in a severe storm, and by 1499, Cabot himself was presumed to have perished at sea. Some evidence, however, suggests that Cabot and some members of his crew may have stayed in the New World; other documents suggest that he and his crew returned to England at some point.

John Cabot did not formally change his name. Cabot was born Giovanni Caboto in either Naples or Genoa around 1450. As was common at the time, Cabot altered his name to fit the different cultures he lived in at various times.

In 1497, about five years after Columbus "discovered" America, John Cabot sailed away from England, looking for a back door to China, just as Columbus had done. Some historians believe he landed in what would become Newfoundland or possibly Nova Scotia in Canada. Like Columbus, Cabot thought he had found China.