Bywater is a village which is situated in close proximity to the Shire, the home of Bilbo and Frodo Baggins, who are the two main characters in the story.
Hobbit Day is the birthday of the hobbits Bilbo and Frodo Baggins, two fictional characters in J. R. R. Tolkien's popular set of books The Hobbit and The Lord of the Rings.
He does not age, but has a sense of becoming "thin and stretched." Toward the end of his possession of the Ring, Bilbo begins to show some of the obsessive tendencies of Gollum — calling the Ring "my precious," and showing flashes of dark hostility when asked by Gandalf to give the Ring to his heir, Frodo.
The player begins the game as Frodo Baggins, and progressively acquires the remaining members of the Fellowship; Samwise Gamgee, Peregrin Took, Meriadoc Brandybuck, Aragorn, Legolas, Gimli, and Gandalf (Boromir strangely only makes a single brief appearance).
In the Inn at Bree ("At the Sign of the Prancing Pony", The Fellowship of the Ring Chapter 9) Frodo jumps on a table and recites "a ridiculous song" invented by Bilbo.