How to get the Daedric Crescent - Elder Scrolls: Morrowind
Location: Tel Fyr
Requirements: Able to open a lock level of 100
Video: How to get the Daedric Crescent
The Daedric Crescent is a unique Artifact weapon which is obtained by defeating Lord Dregas Volar in the Daedric Shrine of Magas Volar. In order to reach Magas Volar you need to loot the Daedric Sanctuary Amulet from a Small Ornate Lockbox (pictured above) in Tel Fyr. This lockbox can be found right next to Divayth Fyr in the upper portion of Tel Fyr known as the Hall of Fyr.
Divayth Fyr doesn't care if you steal items out of his locked chests even if they are right in front of him so don't worry about him seeing you take the necklace. Equip the Daedric Sanctuary Amulet to be teleported to the Magas Volar Daedric Shrine. When you arrive you'll be immediately thrown into combat with Lord Dregas Volar who is wielding the Daedric Crescent.
For the most part the fight with Lord Dregas is straight forward. The worst part is hands down his weapon because it has a Paralyse effect which will chain stun you if you don't resist it or have any means of negating it. Once you defeat him you'll immediately be teleported out of this dungeon and placed back in Tel Fyr. The Daedric Sanctuary Amulet in your inventory will be turned into the Daedric Crescent and that's all there is to it.
Note: On some versions of the game you can 'bug out' this part and acquired more than one Daedric Crescent. For more information on how to do this check out UESPs page on Magus Volar.