Ron Clements, co-director of Aladdin, confirmed the fan theory…

Ron Clements, co-director of Aladdin, confirmed the fan theory that the merchant at the beginning of the film is actually Genie. “[we] had that at the end of the movie, where he would reveal himself to be the Genie… [through] editing, we lost the reveal at the end. So, that’s an urban legend that actually is true.”

Source: Weird Facts
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