Seat covered in paper chains (5)
I believe the answer is:
perch
'seat' is the definition.
(perch is a kind of seat)
'covered in paper chains' is the wordplay.
'covered in' indicates the answer is hidden within the clue.
'PERCH' can be found hidden inside 'paper chains'.
(Other definitions for perch that I've seen before include "Roost; old measure" , "bird comes down on" , "[SOMETHING FISHY]" , "pew?" , "(Fishy) pole where bird sits" .)