I love Okami so much, but honestly, if something happened 100 years ago it probably wouldn't have attained "legend" status with the people of the day. The elderly characters' grandparents (or even their parents) would have lived through that stuff. They would *know* whether it happened or whether it was just an old wives' tale.
Anyway, Okami is great, but maybe 100 years isn't so long ago as you might think ¯\_(ツ)_/¯¯\_(ツ)_/¯
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