Wystern is a tower that stands in the sea in the world of Lyndbaum. This marble of architecture is known as the City of Swords. It is the home of many of the world's greatest Craftknights. A Craftknight is basically a blacksmith. They make weapons for themselves and to sell. The variety includes swords, spears, drills, knuckles and axes. Craftknights are also able to forge other items based on metal, such as a variety of appliances and utensils, but their main commerce are weapons.

Since we're talking about a tower in the middle of the ocean, it requires plenty of maintenance. Most of the income of Wystern comes from an organization called the Gold Guild. A guild is basically a group of Craftknights and Craftknight apprentices. However, the apprentices' work is not considered ready to be sold, until they become official Craftknights. Mostly, Craftknights see their work as a form of art, thus you could say they are similar to sculptors in a sense, though still more so blacksmiths.

The Gold Guild is managed by Libody, who takes care of various business affairs to help support the city. He has a son named Varil, who is a Craftknight apprentice. Another well known guild in Wystern is the Silver Guild, rival to the Gold Guild. The Silver Guild is led by Bron, who doesn't get along with Libody, which caused the rivalry between their guilds. Unlike Libody, Bron was once offered the title of Craftlord but refused. Both guilds play their role in helping support Wystern. The Silver Guild is more focused on details and the art, while the Gold Guild is focused on commerce. This creates a balance of revenue and reputation.

There are seven Craftlords who serve as the rulers and protectors of Wystern. Their job includes keeping the peace, investigating and conducting business. Their leader is Master Rondeau, known as the Craftlord of Diamond. The other Craftlords include Kouren of Ruby, Sakuro of Sapphire, Lubert of Amber, Tyram of Crystal and Ureksa of Jade. There was also Shintetsu of Iron, but he passed away three years prior to the start of the game, following Parista's awakening. The title is later won by his son or daughter Cleru or Pratty, depending on who the player chooses at the beginning.

Wystern hides a dark secret; its spirit protector is more of a prisoner than anything else: the summon creature known as Parista, which also received names such as the spirit of fire or swords. Parista was originally from the "spirit world," Sapureth, from where it was summoned and remained chained to Wystern, unable to return. The fact that the tower city is in the ocean played a key role in being able to keep Parista in its deep underground labyrinths.

The creature was trapped deep inside the labyrinth below the tower angry and thirsty for vengeance. It was due to Parista's rage that earthquakes had been shaking the city. To prevent a panic, while the Craftlords resolved the situation, a tournament was organized to keep people busy. It was said to have been made to choose the successor to the title of Craftlord of Iron. All Craftknights, including those who were still apprentices, were allowed to participate.

The motto of Wystern, the city of swords, is "a sword is not strength, a sword is not skill, a sword is not fellowship," in other words, it all depends on the wielder and how the sword, or other weapon, is used. Craftknights are also required to wield only weapons they crafted themselves, as it is "dishonorable" for a true Craftknight to wield someone else's weapon. Selling their weapons for people who are not Craftknights to use is fine.