From Verinfall Archives

A separate realm of reality from our own, or one of the Otherworlds as the Kalari Monks would say. This Otherworld closely parallels our own reality. Almost every individual's spirit touches upon this specific Otherworld during sleep, which is why it is called the Dreaming. It is tethered to the dreams and nightmares of all people. Other planes may also touch the Dreaming and possibly this world as well but none are as closely connected. Events that happen in the real world can influence what happens within the Dreaming. If one is affected with a spell to 'wake up' then they are expelled from the Dreaming. It is possible to be attacked by less-than-friendly entities within the Dreaming.

The Dreaming is currently damaged. Nightmares are the manifestation of this corruption. There are, at present, two different types of damage. The first type is the scars of Light Elemental passing through the Dreaming. The second, far more serious corruption, is that of the Darkness’s influence. It has already taken over entire sections of the Dreaming.

Besides humans, only demons and fey can enter the Dreaming. Baby dragons gestate here until they are ready to be born. In some cases, such as The Midnight Wyrm, they are unable to be born if their mother is slain.

The Midnight Wyrm said that he had successfully locked away the parts of the Dreaming that the Darkness corrupted, but the Darkness continues to chip away at that realm. Thankfully, it is possible to repair the damage, although one must enter bodily into that realm in order to do so.