This is a response to a writing prompt in the Worldbuilding community relating to gifts. I've probably slightly warped it's original purpose, but hey, that's what makes these prompts so much fun !
In my D&D homebrew world, there's a tradition which I have followed for at least the last 20 years. When it is Christmas time in the "real" world, I try to set things up so that it's also Yuletide in Argull (the homebrew world).
It isn't a Christian world or anything, and the different nations and races all celebrate their own festivals in their own way. But among adventurers, there's a common thread which binds them all together. The Yuletide Gnome.
The Yuletide Gnome is probably the grumpiest, most bad-tempered NPC in the whole world. He has a mysterious ability to pass through any dungeon walls, cell doors, swamps, or any other obstacle, and when he arrives, he'll thrust gifts into the hands of adventurers. No one knows how the gnome gets in, or where he goes when he walks out.
This is usually accompanied by a grumbling monologue about "why I have to do this when the Fat Man just has his feet up drinking sherry is beyond me....".
The presents themselves are appallingly badly wrapped, often in old newspapers or shoeboxes, and generally using the "scrunch" method tied up with a bit of filthy re-used string.
As for the gifts themselves, the one thing I can guarantee is that they are rarely found in the pages of the Dungeon Master's Guide, or anywhere else for that matter. Depending on how I feel about the players and characters at the time, and just what mood I am in, they can be anything from amazingly useful personalised items, to really appalling useless joke items.
Here is a sample to give you an idea of just a few of the gifts I've given away over the years (a mix of 3.5 and 5th Edition)....
The Ring of Ting (a really good one) - this was given to a Lawful Good Battle Priest who really roleplayed his high charisma well. The ring has an inscription;
"All you have to do is put it on and smile.
Use but once a day or your friends will run a mile."
The ring works once a day; put it on and smile, and it grants a very temporary Charisma bonus equal to 1/3 of the wearer's level (rounded up) for 3 rounds. But put it on a second time, and it creates Fear (as per the spell) on all allies within 30 feet – Will Save DC15+wearer’s level.
Image by MrGajowy3 from Pixabay
Hankie of Armour Polishing - given to a particularly swanky (and slightly vain) paladin.
A square of fine linen, embroidered with gold thread in one corner with the monogram CV KJT.
Three times per day can be used as a Prestidigitation but only on his own armour, to keep it nice and shiny. Adds +1 to Diplomacy checks for 30 minutes.
Fletchings of Tracery - a gift for an accomplished archer.
A small pouch full of feathers. Once a day, a feather can be pulled out and attached to an arrow as a Swift action. The arrow with then leave a trail of glitter when fired, and if it hits, will scatter glitter for 3 rounds afterwards (equivalent to Faerie Fire).
This item has a bit of a sting in the tail - the archer in question had very high Hide and Move Silent skills, and it was getting a bit annoying (from a DM perspective) to never be able to get at him. So the trail of glitter works both ways.....
Emergency Escape Chute for Rope Trick - for the Wizard who creates one every night big enough for most of the party (but not their horses).
Can be used by anyone inside a Rope Trick to descend rapidly and safely to the ground as a move action (max 1 person per round). There is a 2% chance of ending up on some other random plane.
An Assassin’s Teapot - the perfect gift for a monk/assassin.
Silver, in the shape of a Foo Lion, one side marked with a skull, the other with a flower. Also comes with a single dose of Iocaine powder.
This YouTube video will show you how this wonderfully devilish contraption works (and yes, it is a thing which exists in the real world !);
Eyemask of slumber - this one was for a doppelganger character.
Prevents trueseeing and other forms of scrying working while the wearer is asleep, preventing their true form from being revealed. It also adds +1 HP to natural healing.
Ring of Perspiration - a bit of a joke present for a druid.
Must be worn for 24 hours, leaving the wearer permanently slightly damp with uncomfortable perspiration (and a slight aroma of wet furry animal), but if worn constantly, grants 2 Inspiration per day.
Image by GlassIdeas from Pixabay
Liar Lyre - for the annoying bard (aren't all bards annoying ?).
Grants advantage on performance checks, but the player has to come up with some relevant but outrageous untruth (and RP it to the full) as a full round action to activate it.
Image by Dimitris Vetsikas from Pixabay
Over the years, players have started looking forward to the Yuletide Gnome's visits, with a mixture of both anticipation and trepidation. We use a system of rotating DM's, taking it in turns as a way to avoid burn-out, but I'm starting to wonder if the others in the group have started plotting to set things up so that I get to be DM around each Christmas.....