In Episode 7 titled The Tethered City Nancy exhausted from her quest attempts to recharge a compass using recovered fragments During the process a tremor reveals a hidden attic containing a silver necklace that resonates with energy The compass then points to a floating city the Tethered City where a young woman named Lyria Moonshade offers to help Nancy reach it Together they discover that the city is trapped by a dark crystal controlled by the antagonist Malric Vayne who plans to manipulate its inhabitants To save the city and its people Nancy realizes the crystal is a conduit of dark power In a tense confrontation with Malric she solves a magical puzzle to shatter the crystal leading to the citys gentle descent back to the ground As the inhabitants awaken Nancy uses the compass to guide their safe landing After saying goodbye to Lyria who stays to help rebuild Nancy returns to the Nexus and places the newest fragment with others noting that the necklace is now glowing hinting at another mystery to resolve