It’s just another unneeded additional storyline that the writers love to randomly add.
Yes this is frustrating. If they didn’t have a commitment from someone–Jaime or Agnes, whichever way they wanted to go–then they needed to not have the Dragon drop this massive “I have a daughter” bombshell. If they never intended it to be Lily then holy unnecessary sub-sub-sub-sub plotline, Batman!
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"He was a lot of things to me" "The only conclusion was love"