The Terrible Dragon is a dummied enemy in Final Fantasy III. It comes in with three colors, and has high Attack power, being at 150. It cannot be encountered by any means, but its stats hint that they could have appeared in the World of Darkness as common enemies, or as rare encounters in the lower levels of the Crystal Tower. They could have also been the weakest of their family.
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A dragon is a legendary creature, typically with serpentine or reptilian traits, which is featured in the myths of many cultures.