Plasmids are small, circular DNA molecules that can replicate independently of the host cell's chromosomal DNA. They are vital tools in genetic engineering as they help with gene cloning and therapy. Plasmids were first discovered by Joshua Lederberg in 1952 and described in salmonella bacteria. They are commonly found in bacteria and some eukaryotes, and can range in size from 1 to 200 kb. Plasmids play important roles like helping bacteria survive through producing toxins, degrading antibiotics, and facilitating replication.