This mysterious rod was stolen by Carybdis and his former associates from another party. It is known to house a great power that can open a gate from which monstrous creatures can come through, similar to the ones the party encountered on the floating island they were transported to from the Majus Ruins.
The party later managed to retrieve and identify it before handing it off to Edwin:
Chaos Rod of Spawning
An unstable implement capable of opening a portal at a random place 10 feet within the user which could release a beast similar to the one that they saw in the Majus Ruins. This beast will likely be aggressive to all it encounters unless it is controlled by a certain special circlet (Circlet of Spawning Control).