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.

The Interpretation of Dreams lives in a stone cube with hay in a woven pattern across the top and has his hair styled like a beard because he envies those apes who can grow beards. He smokes rolls of leaves, which simultaneously relaxes and agitates him. He's written a very boring book about dreams that people find put them to sleep (but they don't remember any dreams). Nobody in a casual setting wants to hear about the dreams of others, so the book doesn't get read much. The Interpretation of Dreams' other work describe the doings of the (sentient) mind. Most of it sounds believable, but it also sounds kind of like nonsense, quack ideas that will take years to clear up.