Dungeon Fantasy Faery Goblin-kin
The faery goblin-kin are faeries who are nasty and cruel so their appearance grew to resemble that. They used to live in the faery realm but they were eventually sentenced to the underworld. There they dug geat tunnels and warrens in the faery realm. They waited to exact revege. There were many small skirmishes but the goblins always lost. It wasn't until a groups of elves, who were also nasty and wicked, decided to conspire with the goblins to overthrow the good faeries. A rumor that can't be true said that they were led by the elf queen Arachnia. In any case, the war was terrible and it ripped open the faery realm and allowed the faeries to enter the mundane world.
After the war, some good faeries stayed in the mundane world, they became elves, gnomes, dwarves, halflings and other of the more magical cousins like leprechauns and pixies. They became mortal but always had a connection to the faeryland.
Some evil faeries chose to stay in the mundane world, these became the goblins, orcs, trolls, ogres, hobgoblins, bugbears and many others. They became mortal but they still dig their great warrens and search for revenge. These evil faeries were completely cut off from the faery realm so they lost all of their magical powers and were sentenced to mortality. A man of wealth and taste took pity on the evil faeries. He decided to return some of the evil faeries magical powers and even immortality in return for services. The ones who had their magical powers returned and immortality restored, became subject to powers of good, scripture would repell them, and they couldn't live without mana. Iron didn't seem to affect them as many loved sharp knives. Others who weren't granted magical powers were unaffected by holy magic or mana. They were promised a place in the next world, however in return for their services.
The magical evil faeries became known as Red Caps, Boggarts, Boogie men, medusae, night hags, sea hags, banshees formorians, gremlins, doppelgangers and sluaghs.
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