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The history of Galveston, Texas, begins with the archaeological record of Native Americans who used the island. The first European settlements on the island were constructed around 1816. The Port of Galveston was established in 1825 by the Congress of Mexico following its successful revolution from Spain. The city served as the main port for the Texas Navy during the Texas Revolution. Galveston was founded in 1836 by Michel Menard, Samuel May Williams, and Thomas F. McKinney, and briefly served as the capital of the Republic of Texas. The Battle of Galveston was fought in Galveston Bay during the American Civil War when Confederate forces under Major General John B. Magruder attacked and expelled occupying Union troops from the city.
During the mid-19th century, Galveston emerged as an international city with immigration and trade from around the U.S. and the world. The city became one of the nation's busiest ports and the world's leading port for cotton exports. During that era, Galveston became Texas' largest city and was its prime commercial center. In 1900, the island was struck by a devastating hurricane. Even post-Hurricane Katrina, this event holds the record as the United States' deadliest natural disaster.
During the 1920s and 1930s, the city re-emerged as a significant tourist destination centered on casinos and other vice businesses. Featuring venues, such as the famed Balinese Room, the city became nationally known as the sin city of the Gulf. The illegal businesses were finally closed in the 1950s, leading to a long, stagnant economic period. Many businesses relocated off the island, though some, such as the insurance businesses and the medical school, remained.
The city gradually re-emerged as a tourist destination centered on its history and historical buildings. New tourist attractions were established, and further development of the medical school and other area businesses has revitalized the economy in recent decades.