Drop caps can be specified in LibreOffice.
In general the "drop cap" is the first letter of the first paragraph of each chapter.
In some cases is can be two letters,
as in the case of a chapter starting with a dialogue (the drop cap will be the
opening double quote and the first letter.)
Drop caps are not essential, but they can add to the pleasure of reading a book:
Alkinea recognizes one or two letters drop caps, on two to five lines of text,
and renders them in the best possible way.
You can choose a fancy font for the drop caps, and automatically export it as a picture.
Use option "DropCap as images" in Alkinea.
You can also choose to display a fancy picture as the first letter. Use "attach as character" and wrap.