The evil genie of Aladdin's lamp from Arabian Nights. Imprisoned in the lamp and forced to grant 1,000 wishes in order to earn his freedom, the newly liberated Erazor wastes no time in exacting his revenge. Using his legendary power, he begins erasing pages from the Arabian Nights so that he can rewrite them in his own way. However, he needs the 7 magic World Rings to complete his ultimate transformation into Alf Layla wa-Layla. To collect the Rings, he recruits the help of Shahra, a magic ring fairy and his old lover.

Shahra plucks the "legendary blue hedgehog" Sonic from the real world and requests his help in collecting the World Rings. Sonic has little choice but to comply after being skewered by one of Erazor's cursed arrows, but even once the deed is done, Erazor refuses to remove the curse and instead tries to slash Sonic with his blade. The evil genie succeeds in transforming into his ultimate form Alf Layla wa-Layla, but his victory is cut short by Darkspine Sonic.

Following his defeat, Erazor was forced to undo his destruction before being sealed away back in Aladdin's lamp. The lamp was later disposed of in a lava pit at Evil Foundry.