I'll be backpacking in Iceland this summer and just found out about Þjóhátíð. Should I go? It sounds insanely awesome. How is camping? Based on the low crime rate for the country, I'm guessing it's pretty safe-- yeah? Anything else I should know about it?
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I'm from Iceland myself but I've never been to Þjóðhátíð, although I've heard a thousand stories about it. It's super fun, you have to buy a ticket to Þjóðhátíð and a ticket with the boat Herjólfur to get to the island where it is held. Buy tickets as soon as possible, it's often sold out really fast.
The crime rate on the weekend of Þjóðhátíð is higher than usual, there's more stealing because tents are usually not guarded and there are always some cases of abuse.
Þjóðhátíð is still very fun. On one night, there's a big concert, where a specially written song for the festival is featured, and everyone on the festival gather on a hill and sing songs together and after that there is a huge bonfire and fireworks. There's always something going on but the festival is mainly known for drunk people partying.