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Unlike the previous two games, Year of the Dragon is set in 'The Forgotten Worlds'. There are four Homeworlds in the game, each named after a time of day. As the game progresses, the Homeworlds become more dangerous; although there are never any enemies in Homeworlds, you can be harmed by environmental obstacles.

  • Sunrise Springs: The starting Homeworld, this world is set during the morning with lush green hillsides, small woods and lakes.
  • Midday Gardens: The second Homeworld, Midday Garden is set during the day with a blue sky overlooking wide gardens and large towering castles.
  • Evening Lake: The third Homeworld is set during the evening inside a large lake containing parts of a submerged Tudor style castle. All portals to other worlds are underwater, and it is possible to be harmed by flamethrowers.
  • Midnight Mountain: The final Homeworld, set at night on top of a high mountain. Unlike the other Homeworlds, Midnight Mountain has a sinister feel and features many gaping abysses for Spyro to fall into, as well as lava.

Each World has…

  • 4 normal realms
  • 1 protester world, where the player takes control of another 'freed' character, i.e. Bentley the Yeti or Sheila the Kangaroo
  • 1 Speedway
  • 1 Sparx world