[Sekto Springs]

I'm pretty sure the "dream man" thing is fake, considering the woman who made the website is actually the director of an ad agency that specializes in making weird, viral shit like this in order to promote something.
Since the site doesn't seem to outright promote anything, she's either flexing her campaigning muscle or just doing it for giggles. There is not a single account outside of the site itself that lends credence to this "dream man".

As for that "scariest picture on the internet", this is only one of about 20 proposed "scariest" pictures on the internet. This is perhaps the most underwhelming one of the bunch; a sloppy photoshop rendition of an anime chick. They say that if you stare at it long enough, it begins to change or move. But this happens if you stare at any still object for a long period of time.

Eraserhead is David Lynch's keystone film. It's pretty much just stream of consciousness weirdness. It's definitely freakier than anything you'll find on the internet beyond Gurochan or Ogrish.