Sigurd is the son of Hjordis and Sigmund.  He is raised by his step-grandfather, King Hjalprek, who said, “none would be [Sigurd’s] like or equal” (Byock 55).  “When all the most renowned men and kings in the ancient sagas are named, Sigurd must be counted the foremost in strength and accomplishments, in zeal and valor” (Byock 55).

When Sigurd was a young man, Odin helped him choose a horse that would become the “best horse there ever was” (Byock 56).  Sigurd named the horse Grani.  Then, his foster father Regin convinces Sigurd to go to a place where there are riches guarded by a dragon, Fafnir.  Sigurd wonders why Regin is taunting him, and Regin tells him the story of his brother Otr who was murdered by the gods.  They were forced to pay his ransom by stuffing his pelt (he was an otter) with gold and covering the outside with red gold.  Otr’s family didn’t know it, but the gold was cursed and resulted in Fafnir, Otr’s brother, killing their father and taking the treasure to a hoard where only he could enjoy it.  He became an evil serpent while he lived there.

Sigurd told Regin to fashion him a sword with which he could kill Fafnir.  Regin tried twice, but Sigurd immediately broke both swords.  So Sigurd went to his mother and asked for his father’s sword, Gram, which had been broken in two during the battle with King Lyngvi that had resulted in his father’s death.  Regin fashioned the pieces into a sword and it was the best sword that had ever existed. 

After Gram had been forged, Regin asked Sigurd to slay Fafnir.  He said that he would, but first he wanted to avenge his father, King Sigmund.  Sigurd’s kinsmen supplied him with a large force and Sigurd easily avenged his father, killing King Lyngvi and his kinsmen, the sons of Hunding.  After he was victorious in his battle, he and Regin went together to Fafnir’s lair.

At the lair of the dragon, Regin advises Sigurd to dig a hole and lay in it to wait for Fafnir so that he would have a better vantage point to stab him from.  Sigurd did not know that Regin was trying to trick him by making him drown in the hole when it was flooded with Fafnir’s blood, but Odin came after Regin fled in fear and told Sigurd to dig many tunnels so that he would not drown.  Using Gram, Sigurd killed Fafnir when he approached.  As he was dying, Fafnir warned Sigurd that the gold would lead to his death and that Regin would soon kill Sigurd. 

After Fafnir died, Regin came to the dragon’s lair and found that Sigurd was still alive.  He asked Sigurd to cut out the heart of Fafnir and cook it for him.  Sigurd did, and when he checked the temperature with his finger and then licked his finger, he could understand the birds, which were telling him that Regin was going to try to kill him and that Sigurd should eat the heart instead, as it would make him wise.  The birds told Sigurd to kill Regin and he did.  He then loaded all of the treasure on to Grani and “she ran as if unencumbered” (Byock 66).