From Ymir's body, Odin, Vili, and Vi created Midgard (Earth). As the Earth took shape, the gods created Asgard (home of the gods) above Earth so they could keep watch over their creation, and the Bifrost, so they could travel between the two realms. This placement established three levels... Asgard on the first, Midgard on the second, and Niflheim on the third.
They then created Alfheim (home of the light Elves), Svartalheim (home of the dark Elves), Vanaheim (home of the Vanir), and Nidavellir (home of the Dwarves), scattering each among the three levels. Underneath Niflheim, they placed Helheim (home of the dead). The two giants who fled the slaughter of their people had begun to rebuild their race, so Odin, Vili and Vi also created Jotunheim which became home of the Giants. When Odin learned of Ragnarok, the doom of the Gods, he established Valhalla in Asgard.
With all these worlds thus created, Yggrdrasil began to grow. It's roots connected the three levels. On each level, a fountain existed... Hvergelmir in Niflheim, Mimir in Jotunheim, and Urd in the heavens were the Norns (Fates) lived. These fountains sustained Yggdrasil which in turn sustained the Nine Worlds.
And thus the Nine Worlds were created.
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