Taxco was called Tlachco (Ball-Playing Place) by the Aztecs, who dominated the region from 1440 until the Spanish arrived. The colonial city was founded by Rodrigo de Castañeda in 1529, with a mandate from Hernán Cortés. Among the town’s first Spanish residents were three miners, Juan de Cabra, Juan Salcedo and Diego de Nava, and the carpenter Pedro Muriel. In 1531 they established the first Spanish mine in North America.

The Spaniards came searching for tin, which they found in small quantities, but by 1534 they had discovered tremendous lodes of silver. That year the Hacienda El Chorrillo was built, complete with water wheel, smelter and aqueduct – the remains of the latter form the old arches (Los Arcos) over Hwy 95 at the north end of town.

The prospectors quickly depleted the first silver veins and fled Taxco. Further quantities of ore were not discovered until 1743. Don José de la Borda, who had arrived in 1716 from France at the age of 16 to work with his miner brother, accidentally unearthed one of the region’s richest veins. According to the legend, Borda was riding near where the Templo de Santa Prisca now stands when his horse stumbled, dislodged a stone and exposed the precious metal.

Borda went on to introduce new techniques of draining and repairing mines, and he reportedly treated his indigenous workers better than most colonial mine owners. The Templo de Santa Prisca was the devout Borda’s gift to Taxco. His success attracted more prospectors, and new silver veins were found and played out. With most of the silver gone, Taxco became a quiet town with a dwindling population and economy.

In 1929 a US architect and professor named William (Guillermo) Spratling arrived and, at the suggestion of the then US ambassador Dwight Morrow, set up a silver workshop as a way to rejuvenate the town. (Another version has it that Spratling was writing a book and resorted to the silver business because his publisher went bust. A third has it that Spratling had a notion to create jewelry that synthesized pre-Hispanic motifs with art deco modernism.) The workshop evolved into a factory, and Spratling’s apprentices began establishing their own shops. Today Taxco is home to hundreds of silver shops, many producing for export.