According to Sauronic Scribes Shauraslûgu (Me. "Ancient serpent"; Q."Yáralócë"; S."Iaurlhug") the Old was a spiritual being sacrificed by Morgoth to create the race of Dragons.The Shauraslûgu was said to have been devoured by Glaurung the father of Dragons.It it possible that the Shauraslûgu was a twisted Spirit of Arda or a Maia.
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Original form in MERP:Iaurlókë = Yáralócë = Iaurlhug = Shauraslugu
according to MERP "Iaurloke" was Glaurung's father which contradicts the legendarium which clearly states that Glaurung was the father of dragons.The contradiction has been tried to solve on this wiki by retconning "Yáralócë" as an earth-spirit in serpent form rather than a "true" dragon.