New Beast design notes

Beasts: The Fucked. Or more officially, the Begotten/Children/etc. Beasts are plucked from their previous lives by the Primordial Nightmare. Exactly what prompts the Nightmare to choose a human to become a Beast is unclear, but the shadow of the Nightmare over their souls is detectable by full Beasts. They suffer nightmares and such more or less as the main document claims, but these tend to not involve wisdom; rather, they mostly revolve around the human being killed by a monster of some sort. Eventually, one of these dreams becomes fully real, and the Devouring occurs; the Horror eats the human's soul and replaces it, and a new Beast is born.

Beast society: Cobbled together by the terrified and lonely; something like changelings, but Beasts tend to exist in lower numbers. Some Beasts don't give a shit about the wider effects of their hungers, and spread fear with abandon, but wiser Beasts realize the self-defeating nature of this: Heroes come knocking when the level of fear--any type of fear--reaches a critical mass within one region. Therefore, environmentally-conscious Beasts need to not only stop their monstrous brethren, but balance their own diets with the need to control the general level of fear; sparsely populated regions can avoid having too many fearful minds in one place and a careful, lazy Beast could remain in one for a long time, but large cities--especially in the World of Darkness--contain so much fear, pain and suffering that a Beast who's adding to the total amount would be wise to alleviate it.

The Primordial Nightmare: Imagine a spiritual monster of truly enormous size. Like a living island with its wooden tentacles plunged into the dirt below, sucking the life out of it. That's the Nightmare; it's a living entity, and it feeds on the fears of humanity, a veritable nighthag of the entire species. And it chooses both Beasts and Heroes to serve its purpose (assuming "chooses" can accurately describe this thing's thought processes. Beasts spread fear--at least, that's their intended purpose--while Heroes feed on it.

Heroes: Possibly the Nightmare's feeder tendrils, but it's hard to know for sure. Heroes resemble Beasts in some ways, but are quite different. For one thing, it's a would-be Hero's choice to merge his soul with one of the so-called Guides of the Nightmare; for another, their humanity is gone in an eyeblink (not that there was usually much there to begin with, for someone who might listen to a Guide).
Heroes are the picture of the charming, picturesque psychopath. Their condition gives them a supernaturally compelling aura, one that leads normal people to admire them, and listen to what they say must be feared. And killed. These people are called the Entangled, victims of the Hero's Web of influence and social power, and Heroes milk them for Satiety as the Nightmare slowly drains their will.
Heroes gain Satiety by killing those their Entangled--groups of which are referred to as "crowds," or "mobs" if the Hero uses them as tools in his hunt--fear. This doesn't have to be fear that the Hero induces; showing up as their savior for something they already feared works just as well, and is usually easier (Heroes rarely have strong opinions about human culture anymore, so they're willing to adapt to expectations). However, the premade victims eventually run out, and the Hero then needs to stir fear of more and more targets into the hearts of the crowd. Not to mention that the Web's power grows weaker as Satiety climbs; if it hits 10, the Web breaks altogether and the Entangled are released. Like Beasts, Heroes face a balancing act.
Heroes may or may not actually hate the Beasts they hunt, but hatred isn't their primary motivation; rather, it's because the act of the kill is incredibly delicious, addictive and empowering, basically akin to diablerie. Their Satiety boosts up to 10, and they gain additional benefits depending on how large their Web was at the time; killing a Beast also leads to an "afterglow" effect that keeps the Web intact longer than it would normally, enough time for the Hero to drop it below 10 if they want to retain their crowd.
The Entangled are pretty boned. If a Hero is killed, that (with one exception) releases them, but they have no other real recourse for freedom. Also, as the Hero exploits them, the Nightmare feeds on them; Entangled gradually lose dots of Willpower. It manifests as increasing devotion to the Hero with dwindling interest in life outside the crowd. When Willpower hits 0, the Entangled's self effectively dies; all that's left is a mindless automaton that can only obey the Hero. This isn't entirely good for the Hero, either, as they no longer fear anything and aren't part of the Web, per se; that's why Heroes have to keep attracting more and more cronies. Willpower will slowly recover if an Entangled is released.
One thing that Beasts can get out of Hero fights is the ability to eat the Hero's soul, such as it is. A reversal of the Hero's own kills, it's just as glorious an experience for the Beast, and gives an automatic extra dot of Lair. However, it comes at a price: every single Entangled in the Hero's Web drops dead from the psychic shock. Aside from the human cost, this tends to be quite bad for avoiding attention, since none of the corpses will show any signs of what killed them.