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.

Elron of Dreams is a carefree dragon, often seen in his own little world.

Elron and his clanmates appeared to the dragons in the Great Cave in their dreams, asking permission to stay with them. Emerald, of course, consented, and asked them why they came. They had come a long way from their original home, where they could find no female dragons to mate with. Fearing the clan would die out, they made their way to a place they'd only heard of in stories, the Great Cave, where all the great dragon clans of the area met and lived.