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The crystal palace, also known as the Glass Castle, is the home of the Dreamwright in Might and Magic: The Dreamwright and Might and Magic: The Shadowsmith. It was also the home of Amonwelle and her staff. Hitch described it as a "huge crystalline structure of staggering beauty, its many spires rearing like the points of an icy crown to brush the clouds".

The crystal palace was protected and disguised by the great forcefield known as the Unseen Wall. The palace was both luxurious and technologically advanced. There were large elevators, complete with comfortable couches. The great chamber housing the Dreamwright machine had escalators between the floors, and driverless vehicles transported people from the nearby village to the palace. The bedrooms had clocks on the nighttables, with numerals marked with cold fire.

By some magic or technology, the rooms were capable of changing their decor completely. The first time Diligence entered the Firebird Room, the table, chairs, walls, floor, and ceiling were all made of deep green marble, threaded with veins of cobalt. When she came back a few days later, it seemed to have been cut out of a single block of rich turquoise.

Beneath the palace was a great chambered hall that served as a museum and armory, filled with ancient, legendary treasures. It was here that Manscythe was placed, and where Hitch planned to leave the Staff of Blue Light.

When Diligence's caravan arrived, the palace had recently been attacked by Dubiel, and the western walls had been reduced to a "slag of melted glass and metal". Many of the workers had been killed, including Niirphar, the current Dreamwright.