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Bloodshot Eye had cooperated with the Outer Gods because their goal was also his goal too. His origins were a mystery to many, but he was a God that didn't belonged to this Universe.
Drifted through the Sea of Emptiness, he ended drifting ashore the Outer Void Plane by accident and was infected by the Outer Void Essence into an Outer God several millions of years ago.
He had adapted to this place and grew stronger through crossing through various challenges and tribulations made by this Outer Void, the Abyssal Outer Monstrosities he fought and devoured made him grow stronger as he traveled across this endless landscape of utter incomprehensible appearance.
As he traveled for hundreds of thousands of years, he was slowly devoured by the Outer Void's powers and his mind continued to transcend common sense. His powers continued to grow towards directions he had not thought, and his entire body mutated into an Outer God.