Daydream Dragons are the hosts of daydreams and fantasies. They spend the majority of their time sitting on clouds, dropping daydreams down into the minds of people passing by. Humans who live near Daydream Dragons must be especially careful not to let their thoughts wander, or they could end up spending hours or even days in a trance-like waking dream state.

Dragons are highly-intelligent reptilian creatures that—from a human perspective, at least—appear to live forever. Many different varieties of dragon exist, each with their own unique qualities, habitats, and behavior. Adolescence in dragons is usually marked by the growth of a hatchling’s wings, although not all breeds of dragons grow wings and some breeds have other traits that indicate the beginning of maturation. In Galsreim, dragons and humans coexist peacefully.

Morpheus likes to sleep.  In fact, if he isn't entertaining himself with giving some silly human one fantasy or another, he'd be dosing away on his cloud, enjoying a nice dream of his own.  The reason that he's stuck with giving humans daydreams  Simple.  A while ago, he'd given a balloon dragon this idea that she was some singing virtuoso and she hasn't stopped practicing since.  Not only did it cause Morpheus to lose his precious nap time, but the region's guardian was constantly trying to find the culprit.