The dwarven race originated in the hills of Eirè and Skotia but fled persecution there long ago. Dwarves love gold, they love working it and making beautifully crafted items with it, and they work hard to extract it from the earth. Humans, however, appeared to prefer to simply try and take it from the dwarves. After several complex misunderstandings and their accompanying deaths, the dwarves decided to stop tunneling downward and focus on tunnelling sideways.
They are very much at home beneath the earth so they began to mine under the lands of their persecutors in search of safer lands, ideally distant and unpopulated ones with an abundance of natural resources. They eventually reached the mountain known as Chomolungma and encountered a very surprising future. Not only did they form a highly unexpected yet mutually profitable relationship with the goblins that had followed their perigrinations; they also found the only dragon left on Gaia's green face.
In spite of the slander against them, dwarves are highly honourable and honest beings; treat a dwarf right and with respect and you will have one of the most fiercely loyal friends you will ever encounter as well as an unflinching ally.
I is said that dwarves love gold and jewels more than anything on Gaia, but they love Her, the dragon even more.