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.

Lytheral is often seen not paying attention. She is a bit malevolent, and loves to make humans daydream at a very important time. She loves to daydream, and spends most of her days sleeping on clouds and eating. Because of this, she has grown rather fat and lazy. Lytheral used to want to be Sharasha's mate, since he flew by her cloud so often, but when she realized he was a bit too eccentric, she left him. Some dragons have thought that Lytheral is so nasty because of this.