On one fateful night, a purple meteor has fallen down from the skies. Harnessing its power, the Demon Folk grew stronger, and started attacking peace-loving tribes and their villages. One warrior of the bunny-eared Monbit tribe stood up against the demons. Riding a dragon, he entered the palace of the Demon King and shattered the magic amulet he was wearing. However, the warrior was gravely wounded himself. He entrusted the amulet with the tribe elder. Years have passed, and the demons are once again rearing their ugly heads. The young hero is the only one who can save the world - by using the magic amulet's power, and by befriending a dragon...

Seiry? Densetsu Monbit is a traditional fantasy-themed Japanese-style RPG, with the typical progression scheme: the player navigates the hero (and other characters who join the party later) on the top-down overworld map, enters towns, buys weapons and armor, and fights randomly appearing enemies in first-person perspective, turn-based combat. One stand-out gameplay feature is the dragon egg the hero carries from the beginning of the game. As time passes, a dragon will be born, and assist the hero in various ways. For example, even as an egg, the dragon can serve as a healing item that replenishes a small amount of hit points.