Teleri
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A branch of the Elven race altered and adapted for aquatic dwelling; effectively Mer-Elves.
The Teleri probably broke off from the parent race during the expansion of the Elven Empire, using arcane magics to permanently change themselves in a way that bred true.
Almost all contact was lost with the Teleri during and after the War of Tears; some Teleri have been seen around Terranova in modern times.
The term is also used to refer to those sea-faring elves who dwell upon the Elven Isles, although these are not merfolk.
