A
NES game company founded in 1989 by
Dan Lawton. His company
reverse engineered the
hardware lock on the NES and discovered that certain voltages applied by the cart to the circuit would render it inoperative. This is different than the way
Tengen did it (stealing the hardware lock documents). Color Dreams games are easily identified by the bright sky-blue cartridges with their dark, poorly drawn artwork.
The first few games by Color Dreams, like Baby Boomer, Crystal Mines and Captain Comic did fairly well, but the quality of their games took a turn for the worse, and sales plummeted. It probably didn't help that Nintendo blacklisted them in the sales world which crippled their ability to get their games on store shelves. Furthermore, most of their games had crappy gameplay and bad graphics which is not good for sales.
Something I still don't understand is Color Dreams next move, which was to start releasing a bunch of religious-themed games under the name Wisdom Tree. A lot of these games were rehashes of earlier Color Dreams games with changed graphics and bitmaps (Menace Beach was converted Bible Buffet). There were several new games such as Spiritual Warfare, which is basically a The Legend of Zelda clone where you use your Bible to "convert" (kill) the nonbelievers. Apparently this was a pretty successful business shift for them, as they sold a lot of Wisdom Tree games.
See also Wisdom Tree for more information and a complete description of all Wisdom Tree games.