Ryu is one of the last survivors of an ancient race known as "Brood." The Brood were beings that could transform into dragons. Hundreds of years ago, a goddess appeared by the name of Myria. Myria convinced the humans of the world that the Brood were seeking to destroy the entire planet. A violent war rocked the world. Even though the Brood had the power to destroy the world, they would have never used it. In the end, the humans wiped out the Brood entirely, or so they thought. The Brood's bodies turned into Chrysm, and years later were used as a power source. Myria tricked the humans, but they never knew. Hundreds of years later, a boy, the Prince of all Dragons , (as the Brood called him,) appeared. The boy did not know of his heritage, or the fact that it was his destiny to defeat the evil Goddess Myria. This boy's name was Ryu.

Teepo is very brave; to the point of being reckless. He was abandonned as a child and his "bro" Rei took him in. Teepo lived in a place called Cedar Woods with Rei and Ryu until a terrible battle split them apart. Rei, Teepo, and Ryu were thieves. They always would steal from Mcneil Village, (located to the South of Cedar Woods.) One winter, the thieves defeated a huge monster and saved the villager's lives. They were known as heroes. A lazy farmer asked them to steal back the tax money from that "Evil Money-grubbing Mayor Mcneil." Teepo, loving all the attention he was getting, agreed. When the kids broke into the Manor and stole the money, they were no longer viewed as heroes. The Mayor sent his friends from the Black Market after them. They were beaten terribly, and when they awoke they were split up. They all believed each other to be dead. Shortly after Ryu discovered he was a Brood. And let's just say Teepo's similar to Ryu in more ways than one...

Rei was carefree boy a few years older than Teepo and Ryu. They always looked up to him. Rei was kind of the leader to their little gang. Rei has the ability to turn into a tiger. He has always wondered why he was given such a power. He never told Ryu or Teepo about his mysterious power. When they lost the battle that split them apart, Rei blamed himself for not turning into a "Weretiger". He dedicated his life to avenging Ryu and Teepo. He started to use his power constantly, attacking anyone who traveled on the road to the Black Market. In the end, he couldn't even control his own power. His efforts were in vain, because, apparently, Ryu had killed the men that beat them up, (alright, alright, their names are Balio and Sunder.) Seven years later, Rei reunited with Ryu and together, they took down the leader of the Black Market.

Nina is the princess of the kingdom, Wyndia. She's the one who always sticks up for Ryu when people start talking about how dragons were evil. She met Ryu when Balio and Sunder learned of Ryu's ability to transform. They tried to sell him to the King of Wyndia, (Nina's father.) Ryu was in a cage with a sheet over it as a dragon. He turned back to a kid before Balio, which was like the older brother, unveiled him. Since he was no longer a dragon, Balio, Sunder, and Ryu were locked up for fraud. Nina let Ryu out of the cell because she felt sorry for him. Balio and Sunder convinced her to let them out, too. They kidnapped the princess the moment she let them out, saying a princess was much better than a dragon. Ryu transformed for the first time of his own will and beat up Balio and Sunder. Then Nina ran away with Ryu, intent on helping him find Rei and Teepo.

Momo is a genius inventor. She loves machines, and spends countless hours pondering what's across the sea, where all the machine parts drift from. She also constantly brags about her father, Repsol, who, according to Momo, was the greatest scientist that ever lived. She may be kind of annoying, but she's also one of the three strongest fighters in the game. She first met Ryu when he was fleeing Balio and Sunder with Nina after leaving Wyndia. She uses a Chrysm bazooka. Chrysm energy is the ore that magical beings eventually turn into after they die, Momo explains. Momo joins Ryu and Nina in helping them find Rei and Teepo afterwards.