Not All Heroes Wear Capes

Description
Find Kryskan's Cape

Walkthrough
Once you get the quest, go to the north of his house and follow the path until you find a Moodshroom, interact with it and it'll run away, follow it until you find a giant tree. There you'll see his cape, climb to the top of the tree where you'll find a corrupt Moodshroom, after you defeat it, go to Kryskan and bring it to him.

Rewards
Progression