Dauntless Dragon is a toy dragon who appears as part of the ensemble in The Christmas Toy, notably during the group musical numbers. The character was originally intended to have a larger role, however, as Joanne Green recalled:
|“||Dauntless Dragon was the Muppet who almost didn't happen. He was originally a character for the TV special The Christmas Toy, but as the script was rewritten, Dauntless' role was cut back, and Rollie turned her talents to creating the remaining characters. But Rollie [Krewson] didn't forget about Dauntless... She made this character during odd moments: waiting for paint to dry, during meetings. Despite his few moments on camera, the dragon added much to the look of the show. ||”|
The character was later commemorated in a friendship quilt created by the Muppet Workshop for Rollie Krewson's daughter, Ariana.