No, they are not. All you get for collecting the fairy tales, besides the dream souls for individual ones, is a choice of reward from Node. You can choose from: 1 million souls; a slab, 50 watches, 10 candy, and 10 girl's scent; a white rabbit ring; or an hscene with her in her swimsuit. Every item from that list can be gotten in the chaos dungeon and reaching G end allows you to unlock all hscenes in the room of reminiscence.