With the entire process taking place inside the Tiny World, the surrounding area was insulated to the effects of Karl's aura, and the changes that were happening.
What they were not insulated from was the unexpected backlash of Dana's skills becoming available to Karl. Most of them had minimal effects, given how strong Karl already was.
But there were a few that made a difference.
Karl had never been able to learn [Armoured Constructs] in the past, he simply wasn't compatible with it. He could use [Durable Constructs], as Rae had learned it, but not the better version that gave them all better armour.
But more importantly, [Crushing Constructs], the Golem Mistress skill that let you apply one spell to your [Golem] type summoned creatures was now available to him.
