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.

Nightmarist admittedly has a little too much fun with his daydreams sometimes. Of course he drops the normal ones, the happy fantasies and wistful wishes, but once in a while, when he's in a bad mood or especially bored, he'll throw in a disturbing one. Those who stick around him too long may find themselves fantasizing about killing their boss, considering how many toes they really need, or wondering what a certain someone would look like inside-out. The best of his victims are disturbed by their own thoughts--his favorites, however, are the ones that never really notice Nightmarist's daydreams are out of place.