The Dream Machine was the last test the Dream Master created to ensure only qualified people would be able to become part of the Nightmare Knights. It is located in the Chamber of Dreams and forms a Dreampath from its location underneath of the Abandoned Monastery to the Dream Realm, where the The Dream Master resides near the last teacher of the dreaded order of the Brotherhood of Bones. Whoever passes that challenge is deemed worthy of joining the order.
The machine consists of a lever that can be turned on/off, a Poison Well, four Stone Tiles that seem to be switches, four Blue Shrine Stones and one Red Shrine Stone, four Magic Walls, and energy sparkles when turned on. Eventually, it can contain only the four Blue Shrine Stones and a Magic Forcefield.