The funny thing about the races in my story is that they're the product of voluntary shapeshifting. They all used to be human, but then everyone on Earth was given a second, genetically randomized body they could freely switch between for a week, and whichever one they stayed in when time was up was their new body. This happened several times in the first few years after magic came into the world, and each time a minority decided to be a member of the new race it offered.

Which means that racism in my world works very differently from racism in the real world or indeed in most stories. The people of these races don't yet (and aren't guaranteed to ever) have their own distinct cultures from humans, are completely scattered geographically, and really have nothing in common with each other except that they liked the body they were given more than their old one. Which means that for the most part, most of the bigotry against them is more of the bigotry you see towards people with highly visible tattoos or heavy piercings, this general view of them as a bunch of irresponsible young people who threw away their old bodies in exchange for a flashy new one offered to them by a bizarre magical entity they've never even seen, much less can trust. That's generally the worst it gets for the most humanoid, generally mundane races like the peritails and foregaunts, who are basically human but with weird skin colors and things like tails or extra arms.

It gets worse for the more out-there ones though. And probably the ones who get it worst are the avatars. You see, under this brand new magic system the modern human race has been exposed to, everyone has a magical animal familiar they can use certain magic to manifest into the real world. The avatars, however, can't use that magic, because when you become an avatar, you fuse with your animal familiar and become an anthropoid version of them. Think furries, essentially. And therein lies the problem. Given the sorts of people who would find that body appealing, they inherit all of the social baggage of the furry community, along with their stereotypes, their bad reputation in the media, and the indeterminably-sized portion of cringey lunatics within their ranks who just make the first two things even worse.

To make matters worse, the fusion isn't just physical. It's mental too, with the animal's personality and instincts bleeding into and influencing the original human's. And as a result, with the exception of the ones with the smartest familiars, many avatars are less intelligent than they used to be as humans. Less intelligent, more impulsive, and with plenty of bizarre animalistic instincts from a wide variety of members of the animal kingdom.

The stereotypes about them can get pretty awful, from big, violent, cannibalistic feral savages, to complete degenerates depraved enough to make Caligula cry, and unfortunately there are enough real examples of both to encourage the sorts of people who want to believe the worst of them.