Early explorers find Kraken Cavern and build structures into the rock. They later leave without explanation.
After years of fear, several ships launch firebombs at the mangrove forest. The trees suffer no damage and a storm forces the ships to retreat.
A group of sailors ground themselves on the beach due to impenetrable fog. While stranded, they create a village, and after they are found, the island becomes a town.
During their occupation of the islands, the Empire places hand-picked governors on the major port towns of Silver Lagoon, Redwater Port, Port of Thunder and Bay of Whispers. They are tasked with working together to control the islands. Smaller islands are given minor officials to run things.
In response to occupation, loosely-unified Broshans form a guerrilla navy, attacking ships and the plantations being created. These forces are all labelled pirates, because the Continent has never been great at critical thinking.