In Dragonica, you have 4 tabs in your inventory. That makes for a lot of items and loot.
Aside from the usual gear and potions, there are a few items every Dragonian should be aware of before embarking on their journey through the lands.
When you click your inventory button you will notice a small hammer on the bottom left corner. This is your Disassemble button. Functioning much like Disenchanting, this allows every gamer to break down unusable or unnecessary gear and weapons and extract their Soul particles, which can be used to do Soul-crafting. This is a very useful way to recycle unwanted items and enhance the ones you want.
Of course, it doesn't always work on your 1st try, so you probably have to prepare quite an amount of Soul particles before starting.
Another useful item is the Recipe Scroll. There are many different Recipes using different ingredients and they are available from Vendors, but usually drop from mobs so often that buying isn't necessary.
You don't need to run to an NPC to cook. Simply right click on a scoll in your inventory and you will be able to see if you have all the necessary ingredients (green text) to whip up a dish. Watch as the progress bar slides and then you have a brand new consumable which grants both HP and MP when used. This is a pretty good way to clear miscellaneous junk loot that clutters up your inventory and recycles them into self-made "pots" that you don't need to pay any of your hard-earned gold for.
It's as simple as that.
(Too bad for those of us who were nursing fantasies of an in-game Cooking Mama.)