Thank you for the walkthrough!
Do you have any suggestions on what to do with the demons?
And is there an alternative to dealing with the turquoise faction besides reducing their respawn rate?
The garrison size for demonic castles should be reduced. While you can still defeat the demons themselves by locking yourself in the castle, a garrison with a legion of demonesses was unbeatable when I encountered the Dungeon faction on the 3rd month. At the same time, the neutral creatures were quite manageable.
The turquoise faction's army growth could be increased if the respawn rate is reduced, making them a real opponent instead of just an annoying element.