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.

Day Dream Maker is a real nuisance for teachers and students alike. He can almost always be found floating over a student and a teacher, filling their heads with a loud buzzing noise or an amazing daydream. By the end of the day, nearly everyone is confused except for the cause of all the trouble, Day Dream Maker himself. However, he can't control when he fills people's heads with dreams, which has caused more than one accident when a student was learning magic. For this reason, Day Dream Maker is slightly afraid of magic, as his tail was singed by a stray fireball once. However, his dreamy nature prevents him from being really afraid of anything. He tries to avoid students learning magic, though how hard he actually tries is anyone's guess.