Dwarfs and Elves
While the gods were occupied in creating the earth and providing for its illumination, a whole host of maggot-like creatures had been breeding in Ymir’s flesh. These uncouth beings now attracted divine attention. Summoning them into their presence, the gods first gave them forms and endowed them with superhuman intelligence, and then divided them into two large classes. Those which were dark, treacherous, and cunning by nature were banished to Svart-alfa-heim, the home of the black dwarfs, situated underground, whence they were never allowed to come forth during the day, under penalty of being turned into stone. They were [11]called Dwarfs, Trolls, Gnomes, or Kobolds, and spent all their time and energy in exploring the secret recesses of the earth. They collected gold, silver, and precious stones, which they stowed away in secret crevices, whence they could withdraw them at will. The remainder of these small creatures, including all that were fair, good, and useful, the gods called Fairies and Elves, and they sent them to dwell in the airy realm of Alf-heim (home of the light-elves), situated between heaven and earth, whence they could flit downward whenever they pleased, to attend to the plants and flowers, sport with the birds and butterflies, or dance in the silvery moonlight on the green.
Odin, who had been the leading spirit in all these undertakings, now bade the gods, his descendants, follow him to the broad plain called Idawold, far above the earth, on the other side of the great stream Ifing, whose waters never froze.
“Ifing’s deep and murky wave
Parts the ancient sons of earth
From the dwelling of the Goths:
Open flows the mighty flood,
Nor shall ice arrest its course
While the wheel of Ages rolls.”
Vafthrudni’s-mal (W. Taylor’s tr.).
In the centre of the sacred space, which from the beginning of the world had been reserved for their own abode and called Asgard (home of the gods), the twelve Æsir (gods) and twenty-four Asynjur (goddesses) all assembled at the bidding of Odin. Then was held a great council, at which it was decreed that no blood should be shed within the limits of their realm, or peace-stead, but that harmony should reign there for ever. As a further result of the conference the gods set up a forge where they fashioned all their weapons [12]and the tools required to build the magnificent palaces of precious metals, in which they lived for many long years in a state of such perfect happiness that this period has been called the Golden Age.