Silvermoon City is the capital of the blood elves, located in the northeastern part of the Eversong Woods within the kingdom of Quel'Thalas, at the northernmost tip of the Eastern Kingdoms. The breathtaking capital city of the blood elves may rival the dwarven capital of Ironforge as the world's oldest, still standing, capital.

Rebuilt from the devastating blow dealt by the evil Prince Arthas, the city houses the largest population of blood elves left on Azeroth. Silvermoon presents a very proud and wondrous theme to any who enter. The city is a beacon of culture, with beautiful architecture and statues of elven heritage, and the flag of Quel'Thalas is present all over the city. The Blood Elves are a proud people, and thus cover their city in their colours of red, green, and gold.

Silvermoon today is only the eastern half of the original city; the western half was almost completely destroyed by the Scourge during the Third War. Falconwing Square, the second blood elf town, is the only part of western Silvermoon remaining in blood elf control. The Dead Scar (the path taken by Arthas Menethil and his undead army on the quest to resurrect Kel'Thuzad, which carves through all of Eversong Woods) separates the rebuilt Silvermoon from the ruins of the western half.

The city of Silvermoon was founded by the high elves to be their capital after their arrival in Lordaeron thousands of years ago. The city was constructed out of white stone and living plants in the style of the ancient kaldorei empire and interwoven with the natural topography of the landscape. The city contained the famous Academies of Silvermoon as a center for the learning of Arcane Magic and Sunstrider Spire, a majestic palace home to the Royal family of the high elves. The Convocation of Silvermoon (also known as "The Council of Silvermoon"), the ruling body of the high elves was also based here. Across a stretch of ocean to the north is the island that contains the Sunwell.

Silvermoon City stood for millennia. During the Second War the city itself was left relatively unscathed due to the efforts of elven magi who used the powers of the Sunwell to create a magical barrier over the city making it impervious to the Horde's dragon fire. However, in the Third War the death knight Arthas led the Scourge into the city, attacking it on his quest to reach the Sunwell. The High Elven King and the Convocation were slain and the majority of the population killed. Scourge forces held the city for a time, but abandoned it after the depletion of its resources.

Though the city was attacked by the Scourge, the undead left the buildings mainly intact. For a time the city was a ghost town empty except for dead plants, the occasional body sprawled across the cobblestones and mournful elven spirits. The only visitors to the city were treasure hunters in search of any valuable artifacts that the elves left behind before they deserted the city, but the ghosts of Silvermoon's past inhabitants made stealing difficult.