The world was dying. No one doubted it. By some mercy of Heaven, a swath of the world survived the extinction of the old. At first, as centuries progressed, some hoped they could recover, but the world remained dead beyond a wall of Qi.
Eventually, the edge of the world slowly closed in and it became clear. They had lived, but were still going to die.
The xiezhi were but simple branches of the various clans that had found a place to call home far from the center of the realm. Far too many issues in the central powers and far too much hunting of aether beasts for many to survive.
They also had some relationships with the local powers that carved out a home until the Cataclysm came.
It was only after those cultivating tried to advance that the more critical issue was found out.
Laws were gone or fading fast. Once they were no longer available, most Immortals began to die quickly or could not advance.