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Oz is a werewolf. Apparently, he was bitten on the finger by his toddler cousin, Jordy, only to discover later on that Jordy was a werewolf. Jordy's parents, Uncle Ken and Aunt Maureen, may or may not be werewolves as well. This subject has never been adressed. However, Oz did seem strangely stoic about the revelation that he had become a loup garous.

For the three nights of the full moon each month, Oz chains himself up to stop his wolf-self (at least before he went on his journey to find a cure) from hunting the nighttime streets of Sunnydale. The chains were supplied by Buffy's watcher, Rupert Giles. The Slayer and all her friends are aware that Oz is a werewolf, including his ex-girl Willow. As a werewolf, Oz has yet to take a human life, though he has killed a fellow werewolf - Veruca - only to save Willow's life. In wolf-form, he is huge and quite powerful. His only known natural enemy is the werewolf hunter, Gib Cain, who was forced to leave town without the werewolf pelt he wanted so badly. Cain hunts werewolves to skin them and sell their pelts in Sri Lanka.