I'm split approximately 50-50 between the two aforementioned theories and another, that I thought up. Using blog continuity, I know that Butterfree visits Tv tropes. One of the most referenced tropes is the Xanatos gambit. A xanatos gambit is when the heroes are manipulated into doing the villain's job themselves. I propose that Butterfree has been leading us all on, and Chaletwo is secretly evil. Like, he's lying about what causes the war of the legends and in reality, placing all of the legends in captivity is really the cause. It can't be good for that much power to be controlled.