Goblin
You're one of the few of your wretched kind to crawl out of the dank, savage warrens and not go running back at the first sign of danger. Once you got used to the light of the sun, you wondered why you didn't leave your filthy, ravenous kindred behind long ago.
+2 Dex or +2 Wis: In a den of goblins, you need to be quick if you want to eat. You either developed fast feet or a paranoid level of awareness.
Small: Goblins have a +2 AC bonus against opportunity attacks.
Shifty Bugger (Racial Power)
Goblins gain a +5 bonus to disengage checks.
Champion feat: Once per battle when you successfully disengage from an enemy, you may make a basic melee attack against that enemy at a +5 bonus. That'll teach them to take their eyes off of you.
Razormouth (Racial Power)
You've got a mouthful of jagged teeth that grow back at a rate that more delicate races find alarming. You may use your bite when making basic melee attacks. It deals 1d3 damage per level. Additionally, you can survive on nearly any organic matter no harder to chew than bones or soft wood. This doesn't really have any rules attached to it, but who knows when chewing through a table might come in handy?
Throughout the Dragon Empire, goblins elicit almost universal disgust and contempt. Goblins primarily live in warrens, expansive tunnels criss-crossing through soft, slimy earth. They eke out pathetic existences living on carrion and anything dull enough to fall into crude goblin-made traps. A few goblin tribes maintain a small degree of prosperity by consigning themselves to the service of minor ne'er-do-wells who need cheap, expendable minions. Thankfully for both these would-be-villains and the goblins themselves, goblins reproduce with staggering efficiency. If they aren't kept in check by adventurers, they typically reduce their own numbers through fighting (usually over food).
Thankfully, you are not one of these common goblins, or at least you have left enough of your savage heritage behind to get by in the world of daylight. You're not a creation of dark magic like the orcs, so you aren't forbidden from cities, but don't expect to be welcomed with open arms. Full citizenship within the Dragon Empire, even in Drakkenhall, is pretty much out of the question. Your small size and slippery nature make you well-suited to careers in burglary, couriering, or rat-catching, but never fear to aspire to greater things; goblins have strong traditions of guerilla rangers and spiteful, maladjusted clerics in service to their pantheon of spiteful, maladjusted gods.
Frenemies in middling places: Goblins such as yourself are likely to have relationships with the Orc Lord (orcs consider goblins to be property and eagerly push them around as spare troops and laborers), the Dwarf King (goblins and dwarves have a famous enmity, as former are quite attracted to the 'pre-made' underground cities of the latter), the Three (dragons view goblins much in the same way orcs do, except with the added benefit of being potential snacks), and the Prince of Shadows (who sees a great deal of promise in the natural sneakiness of goblins, and is known for treating his goblin employees with a modicum of respect). Pretty much any villainous or ambiguous icon could have use for goblins, In most cases, you're likely no longer in service to these icons and now want the satisfaction of sticking it to whoever used to push you around. Or your past of service to dark powers means nosey adventurers want to pick your brain for secret knowledge about said powers' plans.