I don’t believe there’s a single answer to this..
Some creatures could be a mix of animal stories and exaggeration, others of myth and disease. Werewolves for instance are reminiscient of canines inflicted with rabies. A kraken is people’s narrative about a giant squid. No cameras around so people of course made it juicier over time..
But I doubt it’s all just myth though. I’ve had vivid dreams about various creatures and seen them in meditation. I strongly believe vivid dreams are related to the other realm..
I would conclude that if they are physical like us there would be proof and we would have their bodies and we would spot their impact on the environment. We can do this with tiny animals. However, beyond the physical anything could be possible..
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