Daly, dressed in lilac and lime green trousers, a pink tee-shirt and sleeveless lilac sweater, was equally as colourful with his golf on the manicured fairways and greens of the Old Course.
The 44-year-old American made the perfect start with a birdie at the first, the trigger for a succession of brilliant approach shots as he raced to the turn in 31, five under.
Daly then made further inroads after driving the 10th and two-putting for birdie before prompting a loud roar from the crowd by sinking a 12-footer at the 11th.
He also went agonisingly close to an eighth birdie at the 12th but his seven-foot attempt horse-shoed out.
Earlier Scotland's Paul Lawrie, the last British player to win a home Open, struck the first tee shot at 0530 GMT to get the 150th anniversary tournament under way.
Before an eager smattering of spectators, the 1999 champion found the centre of the first fairway to lead out the 156-man field in the third major of the year.
Torrential rain on Wednesday forced the abandonment of the Champions Challenge four-hole tournament involving a host of former winners but when the early starters flung open their curtains on the opening day they were greeted by flat, calm but overcast conditions.
John Daly watches his tee shot on the 10th hole during first round play at the British Open golf championship in St. Andrews, Scotland, on Thursday
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