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Nice summary Nonnie.
Now that we have confirmation of Cora as the miller’s daughter, my most recent theory is that Cora may have missed out on marrying her true love because her father (aka The Miller) was trying to social climb and impress the local king that his daughter could spin straw into gold.
At that point Cora does not yet have magic yet. The King that is greedy for a wife that can spin straw into gold may have been Midas before he got his golden touch.
So since Cora cannot actually spin straw into gold, Rumplestiltskin comes to offer the many deals that Cora referred to in Stable Boy. Cora is rewarded by becoming Queen. By this point, Cora has gained her father’s passion for social status and power.
I think Kathryn/Abigail is the baby that Cora traded away as her first born. Once Rumplestiltskin came back to collect on the deal, King Midas was so upset he divorced and banished Cora from his Kingdom. Cora ended up marrying Henry who as Nonnie states is likely wealthy but not royalty or nobility. And although Cora may not truly loves Henry, she probably likes the facet that she can manipulate him.
After having Rumple set the example, Cora also comes to the realization that magic will provide greater power in FTL. She may have learned some magic from Rumple, and some from other sources.
Meanwhile, King Midas makes another deal with Rumplestiltskin in order to keep his daughter. Not sure yet what he trades. Eventually of course, King Midas gets his “golden arm”.
Abigail may have known her mother had been banished and heard rumors of how Cora had killed Regina’s love in order for Regina to become a Queen. After all, Abigail does state she ears everywhere. Therefore the reason for why Abigail comments to James after he has helped her rescue Frederick that “some people will do anything” to keep others from their happy endings.