Advancment by character class is good for me as well.
Some fluff
The Small Blue mushroom like humanoid has a feline like face. It is defensive clutching a small spear in its hands.
Sure, If thats the direction we go :) age catagories are easy once you figure out the basic stuff. ANd even if it does sound like a True dragon From OA no reason we have to go that rout if we don't want to.
379) The wolfblade.
This is an ordinary plain loooking weapon. However during the night of the full moon it turns to silver with a wolf motif handle and a wicked serrated edge. It becomes a +3 Shapeshifter bane weapon.