Funny enough, I remember searching(on Yahoo! back then, Google didn't exist...) for a Zelda fangame or something like that... found an editor. Couldn't understand what the hell I was doing, deleted it. A year or two later I found Graal, and only until like, 2005 or so(when I found copies of the ooooooold versions of Graal, including the Zelda Online editor) did I realize that old editor I tried was actually the early Graal. I don't consider that when I "discovered" or played Graal though, since I had no idea what it actually was at the time.
I don't actually remember how I found Graal itself. Most likely Zelda fangame again, but by then it was actually Graal. I played it offline for a while as I didn't know that you could even play it online for some reason. Guess I never bothered to check. I got hooked though... and Graal back then was surprisingly like it is now. Sure there are no quests, but back then quests weren't what kept you interested. It was social stuff. Guild activities, chatting and PKing and such. You did quests once because you had to, to get the reward, and then you NEVER went back. They were glitched to all hell, and I don't really remember having much of a fond memory of having to complete them... especially the later and harder ones like Gravity Tower, or Sardon's Tower. Man, pushing that fking block across the room while that black hole shot rocks at you... Then waiting for like an hour for the boss room to be empty for the next player.... LOL