- "This sword is the only weapon in our world that can rival the tremendous power of the Nightmare Knight."
- — King Kelp 
The Dream Sword is the sword used by the Legendary Hero and the only weapon in Dreamside powerful enough to defeat the Nightmare Knight. It was given to the first Legendary Hero by the Dream Oracle and has thus been passed down to every Hero (or anyone who looks like a Hero) since.
The Dream Sword is a sword of medium length. Its cross guard resembles a pair of wings with a star in the middle, closer to the grip. The scabbard is light blue color, and in a panel with King Kelp, the blade appears to be pure white. The hilt glows in the dark, although it's possible that the entire blade does as well.
In order to keep just any old person from acquiring and using the Dream Sword, a powerful seal was placed on the blade. A princess from each of the seven kingdoms of Dreamside must sign the sword before it can be drawn from its scabbard.