Fairy Town is a bubble-popping game that features bubble-like pearls instead of standard soap, balloon or other bubbles and a unique playfield. The Fairy Town world appears as a cross-section of circular rings. Inside this world, the pearls connect in a pattern around one large pearl. The player uses a cannon to shoot color-matched projectiles at two or more matching pearls to collect a cluster or cord of at least three identical pearls. Their primary goal is to collect 70 pearls across 12 levels.
The number of different colored pearls increases with each new level. The player receives only five minutes, as tracked in the upper-left area, to finish a level. They also receive a limited amount of ammunition inside a ring near the surface of the planet and Fairy Town's castle towers and trees.
Fair Town also offers the player sparkling bombs to help them collect a mix of pearls with massive blasts. Additionally, if they open a clear path to the central large pearl and shoot it with a matching color, the game removes every pearl of the same color from the world's core with one shot.