For statistical purposes, the United States Census Bureau has defined Shiprock as a census-designated place (CDP).

Since 1903, the town has been called Naat’áanii Nééz (meaning “tall leader” in the Navajo language) after the San Juan Indian Agency superintendent William T. Shelton who settled Shiprock for the United States government.

[4] The town is a key road junction for truck traffic and tourists visiting the Four Corners, Mesa Verde, Shiprock and the Grand Canyon.

Shiprock was founded on September 11, 1903, by San Juan Agency superintendent William Taylor Shelton after being assigned to the northern Navajo by the Bureau of Indian Affairs.

According to one of Shelton's early reports, Navajo had been irrigating the land for many years, with 275 farms drawing water from approximately 25 ditches between the Shiprock area and Farmington.

Early buildings in Shiprock were constructed of log and adobe, but brick replaced these materials after the disastrous flood of 1912.

The superintendent was known as a disciplinarian who was ruthless in his prosecution of “moral lapses,” but is said to have been generally respected throughout the region, particularly for his efforts in adding the Utah-Colorado extension to the main Navajo Reservation.

[12] The Central Consolidated School District serves Shiprock as well as other communities in western San Juan County.

The 1987 film Made in U.S.A. directed by Ken Friedman and starring Adrian Pasdar, Chris Penn and Lori Singer is partially referred to Shiprock.

[15] The 2017 documentary Mayors of Shiprock focuses on the group of native youths who are making a positive change in their community.