[quote=@Kho]
xD great way to explain natural disasters too, I can just imagine xP
[/quote]

Yep. A tsunami is Kraken, but fish washing up on the shore is the Woman of the Waters.

[quote=@Kho]
Of course, it won't give the mortals being swept up by the Kraken any consolation to know that their sea god is just half mad and doesn't really mean to destroy everything in his wake
[/quote]

I'm planning on creating intelligent sea-life to compensate for the lack of intelligent worshipers on those big rocks called continents. 

One sort of smarty sea-life will be the Mermaids/Mermen. They'll worship the Woman of the Waters and protect altars to Undasis. They'll probably mainly see the Kraken as a negative but necessary counterpart to their Fair Lady.

Another sort will be a smaller but still terrifying group of Kraken-like creatures, who bring sacrifices to the altars to appease Undasis' blood-lust, so that he won't wipe them out or turn the sea to blood or something.