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Idyllic beaches and sweeping lagoon views are just some of the draws of Palau, an archipelago made up of 500 islands in the Micronesia region of the western Pacific Ocean. Here you can live out your fantasy of being a mermaid by swimming in their famous Jellyfish Lake (Eil Malk Island), diving with rainbow-colored fish in the Mandarin Fish Lake (Koror Island), and swimming through natural pools and under waterfalls (Babeldao Island).