This empire of the goblin race ruled what is known today as Khorvaire for a thousand years. Before the arrival of humans, the continent was mostly peopled by goblins and orcs.

The orcs were more tribal in nature, so their settlements were loose and spread out. But goblin culture had established a clear caste system as they established an agricultural system, and this culture carried over to the establishment of several fiefdoms and city states. This militant society spread out over most of the continent, battling Valenar colonies, halfling tribes on the Talenta Plains.

The Empire had a tradition of powerful bard-kings (most people never suspect how beautiful and powerful goblin voices can be), all bearing the name Dhakaan. The most famous was Jhazaal, Queen of the Horns. Treasure hunters and archaeologists still search for her five horns, said to be able to bring a mountain to rubble if played at the same time. Her magic helped establish the Uul Dhakaan, a shared dreamspace for all goblinoid people within Dal Quor, but separate from other dreamers. The Uul Dhakaan created a sense of unity and helped institutionalize the values and dreams of the Dhakaani people.

Although the goblins dominated the continent for centuries, it came to an end during the Daelkyr Invasion. While the bards and artificers of the Empire and the Gatekeepers were able to drive the daelkyr and their spawn back to Xoriat, the mad entities laid a curse on the goblinoid people, destroying the Uul Dhakaan. Without it, goblins once again fell to infighting, destroying their own empire within a matter of decades.

After the emergence of Darguun, a set of goblin tribes claiming to be guardian of Dhakaani culture came into the public eye, and now act as advisors to Lhesh Haruuc.