A hybrid dream is one that uses a static wallpaper and you can add some animated elements to it. It will use less cpu than other dream since you do not have to have full screen animation as a video dream does.
The Vintage dream that comes with DeskScapes 3 is one and I've uploaded a couple myself. The great thing about them is the author can set them up so the animated parts can be enabled or disabled as you wish.
An example of this is the Menorah dream I uploaded. The user can turn each candle on seperately.
The only thing requiered to use Hybrid dreams is you must have DeskScapes 3 installed.