The Fred Young Submillimeter Telescope (FYST) at the Cerro-Chajnantor Atacama Telescope prime (CCATprime) Facility will host Prime-Cam as a powerful, first generation camera with imaging polarimeters working at several wavelengths and spectroscopic instruments aimed at intensity mapping during the Epoch of Reionization.Here we introduce the 850 GHz (350 micron) instrument module. This will be the highest frequency module in Prime-Cam and the most novel for astronomical and cosmological surveys, taking full advantage of the atmospheric transparency at the high 5600 meter CCAT-prime siting on Cerro Chajnantor. The 850 GHz module will deploy ∼40,000 Kinetic Inductance Detectors (KIDs) with Silicon platelet feedhorn coupling (both fabricated at NIST), and will provide unprecedented broadband intensity and polarization measurement capabilities. The 850 GHz module will be key to addressing pressing astrophysical questions regarding galaxy formation, Big Bang cosmology, and star formation within our own Galaxy. We present the motivation and overall design for the module, and initial laboratory characterization.