Oral traditions, vital to cultural identity, are losing relevance among youth due to the dominance of modern media. This study addresses the revitalization of these traditions by reconnecting young people with folklore. We introduce Anansi the Spider VR, a novel virtual space that combines first-person virtual reality (VR) with generative artificial intelligence (Gen-AI)-driven narrative personalization. This space immerses users in the Anansi Spider story, empowering them to influence the narrative as they envision themselves as the `protagonists,' thereby enhancing personal reflection. In a 2 by 2 between-subjects study with 48 participants, we employed a mixed-method approach to measure user engagement and changes in interest, complemented by semi-structured interviews providing qualitative insights into personalization and immersion. Our results indicate that personalization in VR significantly boosts engagement and cultural learning interest. We recommend that future studies using VR and Gen-AI to revitalize oral storytelling prioritize respecting cultural integrity and honoring original storytellers and communities.