Loki is often thought of as the most negative of the Gods. He became a God when he fraternised with Odinn, but as we know Loki was a Jotunn. His father was the Jotunn Farbauti and his mother was Laufey (sometimes called Nal), he had two brothers, Byleistur and Helblindi. Loki is the father of Midgardsormur, Fenrisulfur and Hel, the foes of the Gods. Their mother was the female Troll, Angurboda. Loki's "wife" was Sigyn. They have two sons, Nari (or Narfi) and Vali. Loki was very good handsome but had a bad temper, was wicked, cunning and deceitful.

Loki is also called "vinur Hrafnasar" (the friend of the God of Ravens, Odinn), the friend of Hænir and "Thors runi" (friend of Thor). This does not seem to fit with the Loki we know, for he is so often the Gods' enemy. Loki is also called "Vamm Goda" (the disgrace of Gods), to show how evil he was.

In the beginning Loki was a friend of the Gods and often accompanied them, especially Odinn and Thor, though his rashness and thoughtlessness often got him into trouble. Later on his friendship with the Gods became more and more unstable until he became the Gods' worst opponent, and was even thought of as a devil. This might be as a result of Christian influence.

Sometimes Loki helped the Gods. This was especially when he had gotten them into trouble, and the Gods threatened him. But there were times when Loki helped them even though he wasn't to blame, like the time when Thor's hammer Mjolnir had been stolen and Loki helped him getting it back. There are some stories about Loki betraying the Gods and then helping them to get things back to normal. At first he only betrayed them because the Jotunns forced him to, but later on he started doing so of his own will. The most famous of these stories is of how Loki gave Idunn to the Jotunn Thjassi, and then got her back with help from the Gods.

The worst thing that Loki ever did was when he got Baldur killed. Baldur's death was said to be the Gods greatest misfortune of all. Because of that Loki was punished, as told in the story of Gylfaginning.

The last story about Loki is Gylfaginning, the story of how Loki was punished. Loki had changed himself into a salmon, and hidden himself from the Gods in Franangursfossi (the Franangurs waterfall). The Gods found him and captured him into a net that Loki had designed himself. They brought him to a cave were they tied him to rocks and put a poisoned worm above him. This worm issued poison, which dripped into Loki's face. Sygin, Loki's "wife" held a bowl to keep the poison away from him. Sometimes Sygin had to empty the bowl, then the poison dripped onto Loki's face. When this happened the earth shivered, and became known as earthquakes.

At Ragnarok, Loki is freed and fights against the Gods, and becomes the opponent's leader. Loki fights Heimdallur and they both die.

Understandably, Loki was never worshiped as the other Gods.