Krazok occupies the lands which were once the ancient heart of the Ganthic civilization, which controlled all lands west of the HHH hills and south of the Khravest Mountains. When that nation fell millenia ago, the capital city (Xharvum) fell into ruin.
The forests slowly grew over the land. The Ganthic druids and the elves of Theluran took control of the land, and kept the lands pure until Ossav came. Ossav sent hordes of orcs and ogres raiding into Theluran, doing irreparable damage to the lands. The humanoids fell upon the elves, sowing salt into the soil, burning the forest and butchering the elves.
The orcs had always been attracted to the ruined city of Xharvum and the nearby towns. When the elves returned in force to drive the orcs out, they chose to fortify the lands around Xharvum, and renamed the land Krazok.
Krazok might have been crushed long ago by the vengeful elves and hardy Dalyrians.