Another way is to solve it as an implicit equation. Introduce [itex]p = dx/dy[/itex], and [itex]z = x/y[/itex]. Then:
[tex]
p = z - \sqrt{1 + z^2}[/tex]
[tex]
\sqrt{1 + z^2} = z - p[/tex]
Squaring it gives:
[tex]
1 + z^2 = z^2 - 2 p z + p^2[/tex]
[tex]
z = \frac{p^2 - 1}{2 p}[/tex]
or
[tex]
x = y \, \frac{p^2 - 1}{2 p}[/tex]
This is an implicit equation of the Lagrange-Clairot type. Differentiate w.r.t. y to get:
[tex]
p \, dy = \frac{p^2 - 1}{2 p} \, dy + y \, \frac{2 p \cdot p - (p^2 - 1) \cdot 1}{2 p^2} \, dp[/tex]
[tex]
\frac{2 p^2 - p^2 + 1}{2 p} \, dy = y \, \frac{2 p^2 - p^2 + 1}{2 p^2} \, dp[/tex]
[tex]
\frac{d y}{y} = \frac{d p}{p}[/tex]
Integrating this equation gives:
[tex]
\ln(p) = \ln(y) + C'_1[/tex]
and taking the antilogarithm gives:
[tex]
p = C_1 \, y[/tex]
Substitute this in the parametric solution for x:
[tex]
x = y \, \frac{C^{2}_{1} y^2 - 1}{2 \, C_{1} \, y} = \frac{C_1 \, y^2}{2} - \frac{1}{2 \, C_1}[/tex]
which is the same general solution as before if you make the substitution [itex]C_1 \rightarrow -1/C_1[/itex].
But, there might also be a singular solution to the equation. It is obtained as an envelope of the family of general solutions. Differentiate w.r.t. to the arbitrary constant to get:
[tex]
0 = \frac{y^2}{2} + \frac{1}{2 \, C^{2}_{1}}[/tex]
This sum of non-negative terms can only be zero, if each term is equal to zero separately. This corresponds to:
[tex]
y = 0, \ C_1 \rightarrow \infty[/tex]
To check whether [itex]y = 0[/itex] is a solution of the original equation, solve it for [itex]y' = dy/dx = (dx/dy)^{-1}[/itex]:
[tex]
y' = \frac{1}{x/y - \sqrt{1 + (x/y)^2}} = \frac{y}{x - \mathrm{sgn}(y) \, \sqrt{y^2 + x^2}}[/tex]
One may argue that it is because of the y in the numerator, or that the original equation is not defined for [itex]y = 0[/itex].