Long ago, there were no Moths nor were there butterflies. The only flying creatures around were fairies. Many of the crawling creatures admired the fairies and wanted to fly like them. The crawling creatures tried to emulate the fairies by sticking leaves on their back to make wings but always failed. One day a few of the crawling creatures secretly followed the fairies back to their home. There they found discovered fairy dust. With the fairy dust, the creatures successfully stuck the leaves on their back and were transformed into moths.
When the Fairy Queen found out about this, she was furious. To her, fairies are the only ones that can fly; no other creatures are allowed to fly. She wanted to know which fairy helped these bugs! Every fairy was called in for questioning. There was one fairy who was always helpful and kind to other animals in the forest and well loved by them. This made the other fairies jealous and so they accused her. The fairy queen immediately punished that fairy and stripped her of her wings and power.
The fairy prince knew that the fairy was innocent. He was more convinced of her innocence after speaking to the Moths. He borrowed the mother’s wand to try to restore the poor fairy to her former self but failed. Instead, she was transformed into the beautiful butterfly you see today.
So what happened to the fairies? No one knows, they must have moved to another place (at this my daughter said, “Fairy World as you see in Fairly Odd Parents”).