This is the best franchise for Santa to side with, given his immense strength and power.
The first time Santa encountered other mutants, he turned the Brotherhood of Evil Mutants into toys and teleported the X-Men to safety.
Plus, that mind-erasing trick could be used to fix problems it’s facing with inclusion in the MCU, which would be a gift that keeps on giving.
He then wiped everyone’s memory and went about his life as the world’s most powerful mutant.
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