Two versions: the founding 47 parents who paid the bargain and now lack memory; or unrelated entities. The parents-as-monsters read has been gaining all season because it explains why Anghkooey (Remember) would break the curse.
After S4E6
Khatri said maybe when Boyd asked if nightmares turn into real monsters was true. The most direct in-show endorsement of any fan theory to date.
What's confirmed in canon
S3 finaleAnghkooey = Remember. Sung specifically at the monsters by the children.
RecurringSome monsters show almost-human moments.
StandingMonsters do not kill Victor, consistent with parents-as-monsters.
Where the community lands
58/42 toward yes. Khatri's maybe shifts the balance further.
Still open
Q1What happens when monsters remember?
Q2Can they be saved?
Q3Why don't they recognize Victor?
Connected entities