Since this is your first attempt, have you worked with anyone to learn proper technique? There are techniques of layout, and cutting joinery which are efficient. There are also those who have no idea of technique and fight the wood, the tools etc. There's a lot to be learned, though not rocket science by any means, via a 3-6 day timber frame workshop, or working with an experienced timber framer, that may save you a lot of work, and wasted effort. Something to consider.
Pegs should be hard wood. They don't have to be green when installed, but when making them yourself, they are far easier to work green than dry. And usually by the time you go to use them, they are dry. When making pegs, split the green hardwood log chunk with a froe, and throw the blanks in a tub of water until it's time to shave them. A rubbermaid with water works well. There are a bunch of other tips for making pegs, just ask. After you split the blanks you can probably shave about 1 every 1-2 minutes on a shaving horse.
