When the first baby laughed for the first time, its laugh broke into a thousand pieces, and they all went skipping about, and that was the beginning of fairies.

This quote is a metaphor explaining how the world’s first laughter created something magical. When the first baby laughed, the sound of its laughter broke into a thousand pieces and spread out across the world. These pieces became the beginnings of fairies, a magical, mythical creature. Therefore, this quote is suggesting that in that moment, something enchanted and special was created in the world.