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Since oaths had been broken, a Giant hostage burnt to death
in Asgard, and the inviolability of foster-parents forfeited by
Thor, the original covenant of peace was no longer valid.

Now the Gods feared an invasion of Giants into Midgard.

Therefore they built a citadel south of Elivogar, strategically placed to keep an eye on the Giants.

This citadel (probably "Ysetur") belonged to Thor, but he handed it over to the King of the Elves, Ivaldi, who ruled it with the assistance of Egil his son, and a multitude of Elven soldiers.

Ivaldi, a ruler of Sweden and Finland, was the
best of all spear-heroes.

Egil was the foremost of archers and skiers.

Egil's brother, Völund, was a master of smiths and craftsmen, who studied under Mimir himself, and was thought to be an equal to Mimir's sons, if not better.

Ivaldi, his sons and kinsmen swore oaths of allegiance to the Gods.

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