The community was founded about 1850 as Powell Town, named after Jonathan S. Powell, who owned a land grant in the area. It had a post office as Powellton from 1850 to 1872. In 1872, the name was changed to Waskom Station and in 1881 – to Waskom, in honor of J. M. Waskom, a director of the Southern Pacific Railroad who was instrumental in bringing the railroad to the area.

The countryside is known as a Gateway to Texas and as a former Badlands, before being cleared of desperados by Texas Rangers.

Waskom is in the Guinness Book of World Records for having the most gas stations per capita. Most cities average 1 gas station per 1000 people. At one time Waskom had 30 some odd stations with a population of about 1100 people.

Counties: Harrison

Population: 2,160

Primary Zip Code: 75692-0730