Answer:
I am seen in the water. If seen in the sky, I am in the rainbow, a jay's feather, and lapis lazuli.
Pirates put their booty in it.
Pregnant every time you see her, yet she never will give birth.
What can be swallowed, But can also swallow you?
Who makes it, has no need of it. Who buys it, has no use for it. Who uses it can neither see nor feel it. What is it?
You use it between your head and your toes, the more it works the thinner it grows.