Give Gramr to the Paladin captain Modd in Atlantis.

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Introduction

Muto doesn't think you are strong enough to wield Gramr. He recommends that you practice more, and return for the sword when you become a fighter good enough to be worthy of the god's sword. Then you will be on the cusp of reviving Odin, even without finding Golden Island. For now, Muto hopes you will leave Gramr in the Paladin captain Modd's safekeeping. After completing this quest, you must be level 61 or higher to continue the story.

NPC Dialog

Though you were able to restore Gramr, you are not
yet strong enough to wield it. I hope you will entrust
it to the Paladin Captain, Modd, and return for it
when you're strong enough. Then we will be able to
revive Odin without needing to find the Golden
Island.

Quest Completion

Is this sword truly Gramr? Am I dreaming? I never
thought I'd see this legendary weapon with my own
eyes. Muto asked me to keep it for now? Oh, I see.
You are not yet ready for it. Don't worry, I swear on
my honor as a Paladin that I shall safeguard it until
the day you can use it. Here, I have a book
recording a mystic skill called Stealth. If you
practice it you will learn the skill contained within.