Kyto is an evil (so evil that Captain Hook's villainy pals by comparison) dragon who lives in Neverland. He was imprisoned on Torth Mountain by Peter Pan, the Lost Boys, and the fairy queen before Queen Clarion. He is the secondary antagonist.
In Fairy Dust and the Quest for the Egg, the adventurers bring the three objects to trade so he will restore the egg for them. He restores it, but he contaminates the egg with his evil.
Fairies and the Quest for Never Land
In Fairies and the Quest for Never Land, he tricks two Tiffen boys into cutting him out of his cage and starts to destroy Neverland. Finally, Tinker Bell, Gwendolyn, Terence, and the other fairies of Pixie Hollow imprison him again. In this book, Kyto kills seven unfortunate fairies and falls in love with Vidia. He is now imprisoned in the Kyto Keeper (Tink's invention), the fairies even bring his hoard to him.