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.

Once upon a time, a Daydream hatched from her egg. This hatchling liked to go around forcing dragons to daydream in the middle of important dragon tasks, like hunting, eating or trying to impress a female. Many years later, when the human couldn't think of a name for the gendered hatchling, the human's sister was called to help. The hatchling used her power on the sister, making her space out and walk into one of the cave's walls.

Since then, the hatchling took a liking to follow the sister, making her daydream as often as she could. The day came when the hatchling grew into an adult, and the human in charge, containing laughter when the sister fell into a river, named the dragon Purlikel, a combination of the sister's nickname and the word 'stalker'. Purlikel liked the name, and from that day forward, she doubled her efforts on following the sister, and everyone lived happily ever after (except the sister, who had to tell more than one of her dragons to chase off Purlikel on sight).