diff --git a/src/lib/components/chat/Chat.svelte b/src/lib/components/chat/Chat.svelte
index ac23a7ffbe..4d29f09924 100644
--- a/src/lib/components/chat/Chat.svelte
+++ b/src/lib/components/chat/Chat.svelte
@@ -2814,7 +2814,7 @@
 								</div>
 							</div>
 
-							<div class=" pb-2 z-10">
+							<div class=" pb-2 {dragged ? 'z-0' : 'z-10'}">
 								<MessageInput
 									bind:this={messageInput}
 									{history}
diff --git a/src/lib/components/chat/MessageInput.svelte b/src/lib/components/chat/MessageInput.svelte
index 83b1a1fd28..a7acf99920 100644
--- a/src/lib/components/chat/MessageInput.svelte
+++ b/src/lib/components/chat/MessageInput.svelte
@@ -55,6 +55,7 @@
 	import { uploadFile } from '$lib/apis/files';
 	import { generateAutoCompletion } from '$lib/apis';
 	import { deleteFileById } from '$lib/apis/files';
+	import { getChatById } from '$lib/apis/chats';
 	import { getSessionUser } from '$lib/apis/auths';
 	import { getTools } from '$lib/apis/tools';
 
@@ -806,8 +807,11 @@
 	const onDragOver = (e: DragEvent) => {
 		e.preventDefault();
 
-		// Check if a file is being dragged.
-		if (e.dataTransfer?.types?.includes('Files')) {
+		// Check if a file or a sidebar chat item is being dragged.
+		if (
+			e.dataTransfer?.types?.includes('Files') ||
+			e.dataTransfer?.types?.includes('text/plain')
+		) {
 			dragged = true;
 		} else {
 			dragged = false;
@@ -825,6 +829,35 @@
 		e.preventDefault();
 		console.log(e);
 
+		// Check if the dropped data is a sidebar chat item
+		const textData = e.dataTransfer?.getData('text/plain');
+		if (textData) {
+			try {
+				const data = JSON.parse(textData);
+				if (data.type === 'chat' && data.id) {
+					// Fetch the chat to get its title, then add as a reference chat
+					const chat = await getChatById(localStorage.token, data.id);
+					if (chat) {
+						const chatItem = {
+							type: 'chat',
+							id: chat.id,
+							name: chat.title,
+							collection_name: '',
+							status: 'processed'
+						};
+						if (!files.find((f) => f.id === chatItem.id)) {
+							files = [...files, chatItem];
+						}
+					}
+					dragged = false;
+					e.stopPropagation();
+					return;
+				}
+			} catch (_) {
+				// Not valid JSON — fall through to file handling
+			}
+		}
+
 		if (e.dataTransfer?.files) {
 			const inputFiles = Array.from(e.dataTransfer?.files);
 			if (inputFiles && inputFiles.length > 0) {
@@ -1022,8 +1055,8 @@
 
 			dropzoneElement = document.getElementById('chat-pane');
 			if (dropzoneElement) {
-				dropzoneElement.addEventListener('dragover', onDragOver);
-				dropzoneElement.addEventListener('drop', onDrop);
+				dropzoneElement.addEventListener('dragover', onDragOver, true);
+				dropzoneElement.addEventListener('drop', onDrop, true);
 				dropzoneElement.addEventListener('dragleave', onDragLeave);
 			}
 
@@ -1041,8 +1074,8 @@
 			window.removeEventListener('blur', onBlur);
 
 			if (dropzoneElement) {
-				dropzoneElement.removeEventListener('dragover', onDragOver);
-				dropzoneElement.removeEventListener('drop', onDrop);
+				dropzoneElement.removeEventListener('dragover', onDragOver, true);
+				dropzoneElement.removeEventListener('drop', onDrop, true);
 				dropzoneElement.removeEventListener('dragleave', onDragLeave);
 			}
 		};
diff --git a/src/lib/components/common/DragGhost.svelte b/src/lib/components/common/DragGhost.svelte
index 526a66ae2e..0ed98eeb0f 100644
--- a/src/lib/components/common/DragGhost.svelte
+++ b/src/lib/components/common/DragGhost.svelte
@@ -29,7 +29,7 @@
 
 <div
 	bind:this={popupElement}
-	class="fixed top-0 left-0 w-screen h-[100dvh] z-50 touch-none pointer-events-none"
+	class="fixed top-0 left-0 w-screen h-[100dvh] z-[99999] touch-none pointer-events-none"
 >
 	<div class=" absolute text-white z-99999" style="top: {y + 10}px; left: {x + 10}px;">
 		<slot></slot>
diff --git a/src/lib/components/common/RichTextInput.svelte b/src/lib/components/common/RichTextInput.svelte
index 488200d900..6a470d779c 100644
--- a/src/lib/components/common/RichTextInput.svelte
+++ b/src/lib/components/common/RichTextInput.svelte
@@ -801,8 +801,8 @@
 									if (!editor || !editor.view || editor.isDestroyed) {
 										return false;
 									}
-									// default logic
-									return from !== to;
+									// Only show when editor is focused and text is selected
+									return view.hasFocus() && from !== to;
 								}
 							}),
 							FloatingMenu.configure({
@@ -905,6 +905,24 @@
 			},
 			editorProps: {
 				attributes: { id },
+				handleDrop: (view, event) => {
+					// Intercept sidebar chat item drops to prevent ProseMirror
+					// from inserting the raw JSON as text. The actual handling
+					// (adding as Reference Chat) is done by MessageInput's onDrop.
+					const textData = event.dataTransfer?.getData('text/plain');
+					if (textData) {
+						try {
+							const data = JSON.parse(textData);
+							if (data.type === 'chat' && data.id) {
+								// Swallow the drop — let the parent handler deal with it
+								return true;
+							}
+						} catch (_) {
+							// Not JSON, let ProseMirror handle normally
+						}
+					}
+					return false;
+				},
 				handlePaste: (view, event) => {
 					// Force plain-text pasting when richText === false
 					if (!richText) {
@@ -1170,6 +1188,18 @@
 				}
 			},
 			onSelectionUpdate: onSelectionUpdate,
+			onBlur: () => {
+				// Force-hide floating menus when editor loses focus.
+				// shouldShow alone isn't enough because it only runs on transactions.
+				if (bubbleMenuElement) {
+					bubbleMenuElement.style.visibility = 'hidden';
+					bubbleMenuElement.style.opacity = '0';
+				}
+				if (floatingMenuElement) {
+					floatingMenuElement.style.visibility = 'hidden';
+					floatingMenuElement.style.opacity = '0';
+				}
+			},
 			enableInputRules: richText,
 			enablePasteRules: richText
 		});