In the second year of his reign, Nebuchadnezzar has dreams that trouble him and summons magicians, enchanters, sorcerers and Chaldeans. They ask him to tell the dream so they can interpret it, but the king demands that they first tell him the dream itself, on pain of death. The wise men answer that no one on earth can do this and that only the gods, who do not live among mortals, could. Furious, the king orders all the wise men of Babylon to be put to death, including Daniel and his companions.
Daniel asks the king for time, and with Hananiah, Mishael and Azariah he begs the God of heaven for mercy concerning this mystery. During the night the secret is revealed to him in a vision, and Daniel blesses God, who changes times and seasons, removes kings and sets up kings, and gives wisdom to the wise. Before Nebuchadnezzar, Daniel declares that no wise man can explain the mystery, but that there is a God in heaven who reveals it. He then describes the dream: a great statue with a head of fine gold, chest and arms of silver, belly and thighs of bronze, legs of iron, and feet partly of iron and partly of clay. A stone cut without hands strikes the feet, and the whole statue is crushed to dust, while the stone becomes a great mountain that fills the earth.
Daniel explains that the head of gold is Nebuchadnezzar, to whom the God of heaven gave the kingdom. After him another, inferior kingdom will arise, then a third of bronze and a fourth strong as iron, which will later be a divided kingdom. In the days of those kings, the God of heaven will set up a kingdom that will never be destroyed. The king falls down before Daniel, acknowledges that his God is God of gods and Lord of kings, and makes him ruler over the province of Babylon and chief of the wise men. At Daniel's request his three friends are given positions in the province.