Descended from the Elder God Loboshi, the loboshigaru are a race of
humanoid canines (though some dispute whether they are more similar to
wolves, dogs, jackals or all of them depending on ancestral tribe). They
have amazing regenerative power, though they are susceptible to magical
damage. Loboshigaru retain a "pack" mentality in that they prefer to
identify with clans and groups and are known to be fiercely loyal to
those groups. Most loboshigaru cannot help but see those outside of their
groups as some sort of threat, or at least highly suspicious individuals
who should be met with caution. However much of a social race they are,
it is noteworthy that if an individual loboshigaru leaves his or her
"pack" for whatever reason, they often remain intensely individualistic
"lone wolves", sometimes leading an almost monastic lifestyle for the rest
of their lives.

During the Elder Wars, rather than be consumed by the Soulless Gods, several Elder Gods splintered their bodies and souls. These fragments became the mortal races. Though not all Elder Gods chose this path nor all mortal races came to be in this manner, it remains true that all Lusternians believe that within each of them is contained the fragment of a god. Thus it is said that the god-fragment within can potentially evolve through the cycles of birth and rebirth until perfection is achieved and the fragment is made whole, becoming a divine in his or her own right.

every race except humans, faelings and viscanti

Faeling were born of an ancient pact between Fae and Elfen.  So, yea, crossbreeding.