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Sleeping Dragon Isle is a location in Xenoblade Chronicles. It is located in the Eryth Sea, between Khatorl Seal Island and Hovering Reef 7, and is a small island populated by a Racti Lexos, a Carbon Tude, several Hilns and some Nebulae. Some Lunar Gradies and Sol Gradies swim nearby. The Clamorous Dablon also appears here during the day if it is raining.

A Heart-to-Heart between Reyn and Riki at green affinity is located here, entitled "Fish Fly! Fish Fly!".

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