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.

Dream lazies around the island, floating on clouds. He creates dreams of love and lose, hate and fear, pretty much whatever he wants as he goes along. Dream is very forgetful and can't even remember his real name. He and the gray dragon, Shadow-Puppet have become 'acquainted' many times, though, they wouldn't call each other mates. Dream often forgets where she is, and they can go centuries without seeing each other. One of Dream's favorite things to do is create horrific visions of death in the mind of a human and watch them slowly go insane. But, this wears Dream out and he spends the next 100 years asleep.