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I comes into play as a creature, gets sacrificed, leaves play, returns to play, leaves, etc...

I believe this triggers rule 104.4b in the official magic rule book:

'104.4b: If the game somehow enters a “loop” of mandatory actions, repeating a sequence of events
with no way to stop, the game is a draw. Loops that contain an optional action don’t result in a
draw.'

I'm not 100% sure this is correct but it seems to be the most logical conclusion

if i am not mistaken, its becomes a creature. no loop

It does create a loop.

Day of the Dragons will enter the battlefield as a 7/7 creature.

When its first ability resolves, it will be exiled, triggering its second ability.

When that resolves, it will return to the battlefield, starting the next iteration of the loop.

It is productive with something like Pandemonium (the Pandemonium would oscillate as well, but that's okay because enters-the-battlefield abilities can see things entering at the same time as the object they're on), Goblin Sharpshooter (when a token creature - like the sacrificed dragon tokens - goes to the graveyard, it triggers goes-to-the-graveyard abilities before vanishing), or Blasting Station.

If it isn't productive, and no one intervenes with a Stifle or Disenchant or something, then the game will end as a draw.

Tats a scary way to end...........