Just to set the record straight for those who may have read the Marvel version: Laufey is Loki's mother, not his father. That is Lore. What follows is my novel gnosis, that is, my insights gained via writing fiction.
Laufey lives on the Leafy Isle, which is an island in the middle of Jotunheim's major river. The island is located in a part of the river where the water is no longer really hot, but it doesn’t freeze over in the winter. Her island is full of birch trees and one of her main economic activities is to make birch oil for sale as a painkiller. Fireverse-Laufey gets into selling darker magics during Loki’s childhood to buy him forbidden books in defiance of Jotunheim’s king’s law because she intends Loki to take the throne of Jotunheim. Her older 2 sons are not sons of the king and that causes some family tension.
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