Chaos Dragons rarely attack, save for their second and sixth turns. On their second turn, they have a 33% percent chance of using Disaster, inflicting many status ailments on the party. On the sixth turn, there is a 33% chance of them using their special attack Incinerate, instantly killing a party member.
They have fairly high HP for normal enemies, but extremely low physical defenses, and their inactivity gives the party several turns to bring it down. Ice-elemental attacks work well against them.
Chaos Dragon's special attack can only be defended by having a high Evasion or the Image status. Equipping a Ribbon and Safety Bit/Memento Ring will make the wearer immune to both Incinerate and Disaster's status-inflicting effects.
If the selected character has high Speed, the player can exploit Chaos Dragon's weakness to Ice. Equipping them with two Icebrand/Ice Rod along with a Master's Scroll and Genji Glove will dish out a large amount of damage.