It's pretty late in the game to add a quantum superimposition of toymaker/archers which collapsed in some meaningful way... though interesting, I think it requires too many things to be lies to actually be true.

For one thing, it would require Thor to have a fundamental misunderstanding about how his power and quiddity work. As he puts it, something he made himself would be all yellow, and thus ephemeral. If he made toymakers and another pantheon made archers, both would be existant, shallow, and fake. Nothing metaphysical would happen just because they're both called "elves".

The interesting thing is that, apparently, forceful tussling with the threads still counts as an act of true, collaborative creation.

More importantly, if the Snarl was the natural effect of bad logic... shouldn't it be over? Once the whole first world was consumed and the gods started working together, it should have stopped being a threat and died down, no?