Yona, Hak, and Yoon begin traveling together in hopes of finding the Dragon Warriors. Worried that bandits may attack them again, Yona asks Hak to teach her how to fight using a sword but Hak declines and instead teaches her to use the bow and arrow. Suddenly Yoon disappears and is taken away by the villagers from the Village of Hakuryuu. Yona reveals her red hair which is worshipped by the protectors of the Hakuryuu and grants them entrance to their village. The current Hakuryuu leaves his chambers in order to eliminate the intruders of his village, but when he sees Yona, the dragon warrior initiation manifests and he recognizes Yona as the reincarnation of King Hiryuu. The Hakuryuu reveals his name as Kija and after a small goodbye celebration for Kija, the four of them leave in search for the Seiryuu. As the four of them travel in the forest, they encounter bandits and Kija demonstrates the magnificent strength of the Hakuryuu's right claw. After taking shelter in the middle of the forest, the four of them travel across the lands in search for the Seiryuu, but after multiple unsuccessful searches, Yoon finally finds a secluded area where the Village of Seiryuu must be living.
Near the border of Kouka, secluded in the mountains, Kija confirms that the Seiryuu indeed resides here. They enter the Village of Seiryuu and is welcomed by a tenant who denies any claims that a Seiryuu lives in their village. Yona, Hak, Yoon, and Kija take shelter in the village after claiming they are exhausted from their long journey, however Yona suddenly gets lost and separates from the others but encounters the Seiryuu who brings her back safely to her group. The Seiryuu narrates the story of his past involving his predecessor, Ao, and the manifestation of the power of the Seiryuu eyes. As the group discusses their plans moving forward, they come to an agreement where Yona, Yoon, and Kija will go search for the Seiryuu while Hak stays behind on the lookout for villagers. Once again, Yona encounters the Seiryuu and meets his pet squirrel, Ao, named after his predecessor. Suddenly, an earthquake occurs leaving everyone but Hak trapped inside the cave without an exit. The Seiryuu comes out of his room to aid in their escape, but the villagers stuck inside fear for their lives and accidentally knock the mask of the Seiryuu's face, revealing his captivating golden eyes. The Seiryuu begins digging the rocks to the outside where Hak was waiting. Before leaving, Yona asks the Seiryuu to join her once again, to which he accepts.
Eager to search for the next dragon's location, Kija attempts to lead the group but suddenly faints due to fatigue. The group makes shelter and the Seiryuu attempts to console Kija by hunting him food. The Seiryuu suddenly calls Yona by her name instead of Princess which surprises everyone. During the night, Yona decides to name the Seiryuu Shin-Ah, meaning moonlight, because he is the one who led her through the dark just like the light of the moon. That night, Shin-Ah comfortably falls asleep with his new given name, and Kija wakes up sensing the nearby Ryokuryuu.