Paper Dragons are not truly living creatures. They are pieces of parchment enchanted by magic, and as such, are very vulnerable to fire. However, they behave almost like dragons. The only place where their behavior differs is breeding: paper dragons cannot breed.

Ambrose is surprisingly content with his position as a "fake" dragon, preferring to be comfortable with his good fortune to have any life at all. He is cautious around fire and water and high winds, and for this reason has befriended Lilly as his guardian, after a fashion. Her powers over the weather have made his life much easier. In return, Lilly has learned much regarding herbology, as Ambrose was conveniently "born" out of an ancient text relating the medicinal powers of herbs.