The town founded in 1865 following the discovery of silver in the vicinity of nearby Argentine Pass. It was populated by prospectors coming over the passes from nearby Georgetown. The town was incorporated in 1881. A local newspaper, the Montezuma Mill Run, began publishing in 1882. In its inaugural issue, the Mill Run described the town as having two hotels, three stores, three saloons, two blacksmiths, one shoemaker, and a number of restaurants and boarding houses.