Zacatecas is the principal city within the municipality in Mexico of the same name, and the capital of the state of Zacatecas. Located in north-cen…Zacatecas is the principal city within the municipality in Mexico of the same name, and the capital of the state of Zacatecas. Located in north-central Mexico, the city had its start as a Spanish mining camp in the mid-16th century. Native Americans had already known about the area's rich deposits of silver and other minerals. Due to the wealth that the mines provided, Zacatecas quickly became one of the most important mining cities in New Spain. The area saw battles during the turbulent 19th century, but the next major event was the Battle of Zacatecas during the Mexican Revolution when Francisco Villa captured the town, an event still celebrated every anniversary. Today, the colonial part of the city is a World Heritage Site, due to the Baroque and other structures built during its mining days. Mining still remains an important industry. The name Zacatecas is derived from the Zacateco people and has its roots in Nahuatl. The name means "people of the grasslands".