My article discusses E.T.A. Hoffmann’s tale ‚Nußknacker und Mausekönig‘ (“The Nutcracker and the Mouse King”) as a text in which the author reflects the impact and conditions of narration. It can be shown that in this tale Hoffmann uses various literary images and motifs to which he will refer later in the poetic concepts developed by the Serapion-Brethren in the eponymous collection of stories. By analyzing the corresponding parts of “The Nutcracker and the Mouse King” and in particular by focusing on the various reactions of the protagonists to the stories that were told in the text, the study shows that in this tale Hoffmann demonstrates his understanding of storytelling as a playful process, which is characterized by ambiguities and openness, so that it is made possible for the reader to recreate or continue the story on his own mind.