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On May 6, 1859, during the Pike's Peak Gold Rush, John H. Gregory found a gold-bearing vein ( the Gregory Lode ) in Gregory Gulch between Black Hawk and Central City.
Within two months many other veins were discovered, including the Bates, Gunnell, Kansas, and Burroughs.
By 1860, as many as 10, 000 prospectors had flocked to the town, then known as Mountain City, and surrounding prospects, but most soon left, many returning back east.
The 1900 census showed 3, 114 people.

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