For detailed information about the series, visit the RWBY Wiki.
Summary
RWBY (pronounced "Ruby") is an anime-styled American CG-animated web-series created by the Rooster Teeth Productions' animation studio (known for their show Red vs Blue). The series is created and directed by animator Monty Oum (known for his animations like Haloid (Halo x Metroid crossover) and Dead Fantasy (Dead or Alive/Ninja Gaiden x Final Fantasy x Kingdom Hearts crossover)).
The story takes place in the world of Remnant, which is filled with supernatural forces and shadowy creatures known as the "Creatures of Grimm". Prior to the events of the series, mankind waged a battle of survival against the Grimm before discovering the power of a mysterious element called Dust, which allowed them to fight back against the monsters. In the present day, Dust is used to power magical abilities and weapons. Those who use these abilities to battle the Grimm are known as Huntsmen or Huntresses. The series focuses on four girls, each with her own unique weapon and powers. Together, they form team RWBY at Beacon Academy in the city of Vale, where they are trained to become Huntresses alongside team CRDL (pronounced 'cardinal') and team JNPR (pronounced 'juniper').
While the power of the verse isn't exactly noteworthy, it has shown a great variety of techniques. It is also fast, having clocked in some hefty hypersonic speeds before the first episode even aired.
While Pre-Timeskip students are Large Building level, the main characters and Pro Huntsmen peak at Multi-City Block level. Top tiers like the Wyvern and Atlesian Colossus can perform Small Town level feats. The Maidens such as Cinder Fall and Penny Polendina have Town level feats such as destroying a large hanger door and possibly breaking a shield that withstood most of this, with a weakened Ozpin also sitting at this level for visibly injuring Cinder with the full power of the Fall Maiden. Finally Prime Ozpin and Salem stand at Town level+ or Large Town level due to Ozpin's superiority over the Maidens he offered his power to.
The verse also has two supreme beings, the Gods of Light and Darkness, one of whom is responsible for the shattered state of Remnant's moon, placing them in the Large Planet range of power.
Terminology
Dust: Dust is used as an energy propellant in the world of RWBY. It is also used to power weapons and machinery, such as Weiss' Myrtenaster, though Dust can still be used without the aid of weapons or machines. Dust is a natural resource, sometimes called "Nature's Wrath" according to the opening narration. It is available in different colors and states, such as crystal and powder, the only difference between the crystal and powder forms of Dust is a significant decrease in potency for the crystal form. Dust functions in a manner similar to a combination of batteries, fuel, and personal energy. Dust is sold in shops, such as From Dust Till Dawn. It is shown to have natural explosive power. During the store robbery, Roman threw a crystal at Ruby's feet and shot it, causing a powerful explosion. The powdered form appears to be more volatile, since a simple sneeze from Ruby resulted in the detonation of a Dust cloud. We have yet to see the everyday use of Dust, but it has been mentioned that Dust is very much related to weaponry in RWBY. It can be easily speculated as electricity or a similar type of fuel (assumed to run vehicles such as the Airships for example).
Primary Types of Dust: Dust is noted to come in several different attributes and colors. Green dust is Wind/Air, Red dust is Fire/Burn, Blue dust is Water, Yellow dust is Lightning, Black dust is Gravity, Cyan Dust is Hard-Light White dust is Earth, and Orange dust is Magma.
Secondary Types of Dust: Combining dust in weapons and into attacks can also produce varying effects. Combining Water and Air dust produces Ice Dust, and combining Water and Fire dust creates Steam Dust.
Faunus: Faunus are a humanoid race that are similar to the Humans except for the fact that they share certain traits with animals. Some, such as Blake Belladonna and Velvet Scarlatina, have been shown to have animal ears, in these cases those of a cat or a rabbit; others have been shown to have horns protruding from their heads. Faunus with animal ears also appear to have a set of Human ears, as do those with horns. Some Faunus, such as Sun Wukong, may have prehensile tails. In addition, they may also share more subtle physical similarities to animals, such as Blake's eyes, which are amber in color and tilted upwards at the corners (two common characteristics of cat eyes). It has also been stated that most Faunus have remarkable night vision, a trait that they use to great effect in combat. Faunus are usually treated like animals or second-class citizens by some Humans, seem to suffer from racism and discrimination, are shown still trying to gain equality.
Aura: Aura is an ability that all those with a soul can use, at least with enough practice. Because Aura is the manifestation of the soul, it can appear very differently depending on who is using it. For example, the color of Aura is different from person to person. Also, a person with a strong Aura may radiate bright colors when using it. It is mentioned that anything with a soul has an Aura, but Humans and Faunus seem to be the only beings able to weaponize it for their own protection. Skilled users of Aura can create their own barriers or even increase their own abilities in some way. Weapons and armor can also act as a conduit for Aura, allowing for an even wider range of offensive and defensive capabilities. It has been shown that Aura strength degrades with continual use. This limits the applications of Aura in combat as, with time or heavy use, a person's Aura will decay to the point where they are left weakened or even incapacitated. It can be compared to Ki or Chi in other media.
Aura is a necessary energy source for all Hunters/Huntresses, being their most powerful ally in battle. Aura, as demonstrated by various characters, has the ability to do the following:
Heightened Perception: Aura seems to be able to sharpen one's senses, or allow one to detect danger, as mentioned by Pyrrha.
Defense: Demonstrated by Ren in the forest, and explained by Pyrrha. Aura is mainly used for defensive purposes. Ren used his to block the fangs of a King Taijitu that was attacking him.
Offense: Demonstrated by Ren in the forest, as he sends a shock wave of force propelling a fang through the snake's head, causing it to explode. Additionally, Pyrrha has stated that all tools and equipment are conduits for a person's Aura.
Aura: One's Aura can be used to 'unlock' the Aura of someone else; as shown by Pyrrha, who unlocks Jaune's Aura. Doing this appears to take a toll on the user however.
Healing: It also seems that those with a strong enough Aura can heal minor wounds. Jaune used this directly on a small cut after having his Aura unlocked. However, it appears that the healing is automatic, and not caused at will. It also seems to wear off after engaging in combat, as Jaune's injuries returned post-battle with an Ursa.
Semblance: Semblance is the manifestation of one's innate and personal power, as an ability unique to each individual, with the effects varying greatly from user to user. Individuals possess their own unique Semblance that represents an aspect of their character. It is currently unknown if an individual's Semblance is related to their Aura. Those that use Semblance are able to manipulate certain physical phenomena according to the nature of their power. Some individuals, such as Weiss Schnee, are able to use their Semblance to create glyphs that generate some desired effect. Ruby Rose is able to move at incredible speeds, while Pyrrha Nikos can manipulate magnetic forces. Taken from RWBY Wiki
RWBY as a verse is made up of numerous different pieces of media that all coalesce into a single linear timeline. With all canon media in mind, the current timeline for the verse is as follows:
RWBY: Roman Holiday: A prequel novel that takes place several years before the events of the main series, detailing the backstory or Roman Torchwick and Neopolitan's relationship.
RWBY: The Grimm Campaign: A prequel series set two years before before the events of the main series, following Team SAFR and their adventures in Mistral tracking down and apprehending the criminal group Wave.
RWBY Volume 1:
RWBY (2015 Manga): A oneshot manga that expands on the events of the pre-series trailers and the first few episodes of Volume 1.
RWBY: Official Manga Anthology: A manga series covering events that took place during volumes 1-3 but were not shown in the main series itself.
RWBY: The Session: A light novel that takes place between Volumes 1 and 2, where Team RWBY and JNPR spend their mid-term vacation at an island resort.
RWBY Volume 2:
RWBY: Grimm Eclipse: A mission-based character action game that takes place between Volume 2 and Volume 3, following Team RWBY's mission to track down Doctor Merlot and stop his crazed experiments on the creatures of Grimm.
RWBY/Justice League: A seven-issue comic series that takes place between Volumes 2 and 3 which follows Team RWBY's meetup with a new team known as The Justice League and their adventures to defeat a being known as Starro.
RWBY Volume 3:
RWBY (DC Comic): A seven-issue comic series that takes place between Volumes 3 and 4 which expands on the events of the timeskip between the volumes.
RWBY Volume 4:
RWBY Volume 5:
RWBY Volume 6:
RWBY: After the Fall: A novel that follows Team CFVY after the events of "End of the Beginning" and occurs around the same time as the events of Volume 6.
RWBY: Before the Dawn: A direct sequel to After the Fall that follows both Team CFVY and Team SSSN at Shade Academy.
RWBY Volume 7:
RWBY: Arrowfell: A Metroidvania style game that takes place during the events of Volume 7, specifically around the time of the montage in the episode "Sparks", following missions taken by Team RWBY while in Atlas and runins with a new team of Huntresses known as Team BRIR.