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Balduran was a legendary seafarer and explorer who founded the city of Baldur's Gate, and he was named in his honor. At some point he disappeared on voyage, with only rumours and legends surrounding his ultimate fate.
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Statues in Wyrmway
There are multiple statues of Balduran with recorded messages from him (created through the Magic Mouth spell). They guide the player through the challenges on their way to find Ansur - his dragon friend that sleeps underneath Wyrmway.
Ultimate fate
At some point Balduran became The Emperor.