The Elemental Dragons are Gaia's souls.
Uh, as per multiple WoG this is false. They are most often often referred to as her children, not a part of her.
And yes, I know there is text support for them being her souls. Personally, I find it dumb, given Gaia's whole thing is she left Creation to go explore, and the only reason she comes back is Luna, yet five major parts of her souls are
anchored to Creation? Way to mess up themes. It also make little sense given the whole 'Creation is our big shiny mansion to relax in'. Fixing a major part of yourself to work to keep your house working is not relaxing, and the Primordial response for this sort of thing in every other case was 'make a god/behemoth to do it'. Really, its only there because some freelancer inserted it without thinking about setting consistency, which was a depressingly common occurrence in 2e.
Because having two sets of Background rules for Alchemicals is any less "pants on head retarded"?
Well, in a mixed game?
Considerably less so.
Look, the thing about TMAM is that it is balanced against thing like GSS (which, mote drip and holy idiocy aside, it does quite well), not a fairly deliberate twisting of the Alchemical's Artifact background for more Artifacts. And yes, this is totally a deliberate twisting of RAI. There was actually a WoG on the issue on the old forums, in the gigantic post-Alchemicals release thread.
A lot of this issue come down to how STs handle raising backgrounds in play. Since that is completely up to the Storyteller, there is no one answer. Personally, I would never allow this reading: its deliberately done to maximize Artifact gain, and as
@Anasurimbor has pointed out,
it actually causes balance problems. Not to mention 'floating dots' of artifact is kinda tedious bookkeeping. Also, this is actually very simple: you use the MoEP Alchemicals Artifact background at chargen, and the corebook one for raising in play. Simple, and doesn't run into balance issues, or leaps of logic for how you are getting those extra artifacts in somewhere like Creation. That goes double if a mixed party is in play, when not everyone is going to be on the same Artifact background.
Also, the whole issue could be very easily solved by the simple expedient of altering the xp cost per dot for TMAM, to reflect the adjusted cost of the Artifact background for this particular reading of the rules, instead of the fairly basic assumption each dot of Artifact cost 3xp and not 1xp. FYI,
every single game I have been in or seen that allows for XP to be used for raising Backgrounds in play uses the former interpretation, not the latter.