system
Given the following post, respond as if you're commenting on Reddit:
human
[Muppets] How exactly do Muppets fit within their universe?

Like, are Muppets born to human parents and it's just some type of genetic mutation? Are they their own race of people? How do the different Muppet species work? What about Muppet / human relations throughout history? Was there a Muppet civil rights movement? Can Muppets breed with humans? 

Please explain, I'm scared.
gpt
Muppets are a type of sentient toy which came into existence when a pocket magic dimension opened in New York City. Few people can find the entrance to this "Sesame Street" but there are some humans who have managed to discover it, and have even made their homes there.

Rather than live in secrecy, and to acclimate humanity to their existence, they decided to create their own children's TV show. While humans believe this show is for childhood education, its true purpose is into indoctrinate people into not being afraid when they encounter a Muppet. It definitely has worked, as several Muppets have created other shows which features human guest stars.

There's apparently also a race of smaller Muppets who live in underground caverns, but even the Muppets of Sesame Street feel this is an urban legend.