Valisthea is divided into two main continents: the continent of Ash in the east and the continent of Storm in the west. It is geographically and culturally isolated from the rest of the world. Valisthea's technological development has been stunted by its reliance on magic, which is used for everything from generating water to forging steel

 Countless eons ago, the Ultima collective arrived to Valisthea, fleeing the Blight that had devoured their own homeland. They had discarded their physical bodies to migrate and did not intend to make Valisthea their new home: instead, they resolved to rebuild the world where only they would exist. Ultima placed the Mothercrystals in each corner of the land to harvest aether for this plan. Ultima then created mankind, who took shape as various tribes on the lands near to each Mothercrystal.

Great nations sprouted around each of the Mothercrystals, and eventually, a precarious peace with them. The Fallen were an exception, as they were able to build their civilization in the sky, along with airships. The Fallen civilization fell and lost access to magic, their cities plummeting to the surface all over the continent. Even 1500 years later, these ruins remained. To most people, the story of the Fallen was one of hubris; of a people advancing too far, becoming too close to God. However, there were always those who saw the Fallen as a source of power.

Valisthea is mainly comprised of six major powers

1. Iron Kingdom

The Iron Kingdom is an island nation in Final Fantasy XVI. In their own language, the kingdom is called Haearann. Their emblem shows two crossed axes and two anchors at the bottom. The citizens worship crystals and view Dominants and Bearers as unholy; any found to have been born on the Iron Kingdom are to be executed The citizens of the Iron Kingdom are referred as Ironbloods by the other peoples of Valisthea.

The Iron Kingdom is nominally a monarchy. Its royal family and sovereign have virtually no power and the real ruler of the kingdom is the Patriarch of the Crystalline Orthodox, the highest priest of this religion that was once practiced throughout Valisthea, but is now only practiced by the Ironbloods. The Patriarch of the Orthodoxy in Year of the Realm 878 was Imreann.

While revering the Mothercrystals like the rest of Valisthea, the orthodoxy differs in that they do not use crystals for mundane tasks and despise the other nations for exploiting the objects of their worship. Ironically, despite being viewed as "barbaric" and "backwards", this might make them the most technologically progressive nation in Valisthea, since it implies they have developed a way to survive without magic. The Iron Kingdom arguably has Valisthea's worst policy regarding the treatment of Dominants and Bearers. While the other nations venerate the former and at least see the usefulness of the latter, the Kingdom views aether as evil and follows a doctrine of killing magic-users upon discovery. 

The Iron Kingdom shares no positive relationships with any of the other nations in Valisthea, being viewed as as "barbaric" and "backwards" due to their rapidly different culture and beliefs. The Kingdom similarly despises the mainland nations for exploiting the Mothercrystals, whom they worship, and has attempted to invade them numerous times in the past to spread their holy doctrine, though without success.

2. Rosaria

The Grand Duchy of Rosaria was formed long ago by a group of small independent provinces in the western continent Storm. Rosaria is the homeland of Clive Rosfield and his younger brother Joshua, both Dominants of their own Eikons. Rosaria draws its Aether from the Mothercrystal Drake's Breath located on a volcanic island. The law of Rosaria is that the Dominant of the Phoenix, Eikon of Fire, is enthroned as the Archduke when they become of age. Like the rest of the world in the events of the game seems to be, Rosaria is now under threat of a corrupting force of the Blight after years of prosperity for the realm. The Duchy of Rosaria was established 250 years ago. However, Rosarians themselves hold their nations as one of the original nations in modern Valisthea, as established by the Founder, a legendary figure still revered to this day. The "Rose Alliance" was established in the Year of the Realm 550, and the duchy as overseen by the archduke came into existence in the year 600

The Grand Duchy of Rosaria is a nation in the western part of Valisthea. Their emblem is that of a phoenix and the nation is led by the Archduke, the Dominant of the Phoenix

Rosarian culture places great importance on tradition and chivalry. During the attempted invasion of Mount Drustanus and Drake's Breath, Archduke Elwin would not have his forces assault the island without first having his son Joshua, the Dominant of Phoenix, complete the Rite of Ancestral Communion in the Apodytery.

While most nations in Valisthea already hold Dominants in positions of authority, Rosaria is the only country to be directly ruled by one. This agreement dates back to the duchy's founding, with the Dominant of the Phoenix being granted ruler status in return for them using the Eikon's power to protect the nation. Great care is placed on ensuring that the power of the Phoenix remains in the ducal bloodline, to the point of arranged marriages between cousins.

There are times when the chosen Dominant might be too young to take the throne, in which case the first-born son of the previous Dominant will act as a stand-in until they come of age. Overall, the duchy seems to practice male primogeniture while women appear to be married off for the sake of alliances. Rosarians worship the Founder, the enigmatic individual who supposedly build Rosaria and, presumably, all other civilizations in Valisthea. This goes along with the kinship between the nation's inhabitants, with the object of their worship not being some higher being but the one who created their community. By 860 to 878, Rosaria was notably not as wealthy as its neighbors, Sanbreque and Dhalmekia, a possible result of the nation having lost access to its Mothercrystal. However, this also meant that there was no large divide between social classes.

3. Holy Empire of Sanbreuque 

Sanbreque is the largest theocratic force in Valisthea. The Empire's holy capital Oriflamme is built around Drake's Head, the Mothercrystal that blesses the surrounding provinces with abundant aether. The people happily take advantage of this, living in comfort and security under the watchful gaze of the Holy Emperor, whom they worship as the living incarnation of the one true deity. The Dominant of Bahamut, Warden of Light, serves as the empire's champion, taking to the field in times of war to rout its enemies.

Their emblem is a golden holy figure representing the goddess Greagor within a golden crest. The Dominant of Bahamut serves as the nation's champion.

The empire is divided into five original provinces, named by their geographical position: the Central Province (home to Oriflamme, the Holy Capital) and the eastern, western, northern, and southern sees. Each is represented by a member of the Greagorian church, a cardinal, while the Central Province is represented by the High Cardinal.

It is normally the Council of Cardinals that appoints the holy emperor, who is officially supposed to listen to them and rule as a constitutional monarch. In practice, however, there are few safeguards to prevent a emperor from ruling in even autocratic manner, as the current Emperor Sylvestre Lesage does.

4 Crystalline Dominion

The Crystalline Dominion sits at the heart of Valisthea, built around the tallest of all the Mothercrystals, Drake's Tail. Many bloody battles were fought for control of this small plot of land due to its strategic importance, till the warring realms finally agreed to an armistice. As part of the peace treaty, the islands around Drake's Tail became an autonomous dominion led by a council of representatives from the surrounding nations—each realm enjoying equal claim to the Mothercrystal's blessing. No Dominant makes their home there.

 5 Dhalmekia

The Dhalmekian Republic is made up of five states, from which the members of its ruling parliament are drawn. Its Mothercrystal, Drake's Fang, is half-hidden in the heart of a mountain range—the republic's control over it, and its aether, securing the obedience of the large part of southern Valisthea. The Dominant of Titan, Eikon of Earth, is installed as a special advisor to parliament and has a significant say in its decision-making.

Their emblem shows a warrior surrounded by the five elements of nature, which represents the five states that make up the realm.

Occupying the southern regions of the continent of Storm, Dhalmekia is mostly composed of deserts, canyons, and savannas, with ruins from the Fallen civilization scattered throughout the landscape.

The Republic remains relatively unscathed by the Blight, but the land is already fairly inhospitable.

Drake's Fang is the nation's Mothercrystal, found inside a mound that rises from the otherwise flat landscape. The other notable landmark in Dhalmekia is the Dzemekys Falls, a circular canyon carved to the southeast part of the Republic where the ocean water perpetually flows into a seemingly bottomless chasm.

6 Waloed

Waloed claims the entirety of Ash, the eastern half of Valisthea, as its dominion. The kingdom's control of the continent has oft been tested by the orcs and other beastmen who make their home there, but the current ruler of the realm—Dominant of Odin, Warden of Darkness—has succeeded in quelling their rebellions. Using the power of the kingdom's Mothercrystal, Drake's Spine, this new king has built up a mighty army, with which he now seeks to test the borders of his neighbors.

Compared to the more urbanized Storm, the continent of Ash, which Waloed occupies, mostly remains an untamed, mountainous, and swampy wilderness, with its most developed parts being just the areas around the capital.

It is difficult to enter Ash (and therefore Waloed) due to violent currents surrounding the continent combined with most of the outlying areas, such as the Shadow Coast, being marked by sheer cliffs and sharp rock formations. This is a double-edged sword for Waloed; these areas being so dangerous enables them to act as covert staging grounds for daring adventurers used during incursions into the kingdom, as no one in their right mind would dare traverse them.

Drake's Spine is a towering violet Mothercrystal that rises over Stonhyrr, the capital city of Waloed. The skies above are perpetually stormy, seemingly due to the crystal's influence.