Shichika and Togame track down Houou Maniwa to retrieve Dokutou Mekki.
The episode begins with a flashback detailing how Shikizaki Kiki first met Kazune Yasuri, the man who would one day become the first head of the Kyotouryuu style. Jumping back to the future, Emonzaemon and Houou Maniwa face off in the duel that left Penguin Maniwa injured at the end of the previous episode. Emonzaemon gains an advantage over Houou but is sliced down when Panguin hands him Dokutou Mekki. However, Houou loses his mind in the process and wounds Penguin as well.
Shikizaki Kiki makes his first appearance
The story resumes where the previous episode ended as Togame and Shichika tend to Penguin's wounds at a nearby hotel. When he is well enough to survive on his own, the two leave for Iga. While on the way there they discuss their plans for after the sword hunt and Shichika decides to stay with Togame. Meanwhile, Emonzaemon appears at Penguin's hotel room and the two duel, with Emonzaemon being the victor.
Penguin meets his maker
When they arrive at Iga, Togame and Shichika are immediately confronted by Houou, who claims to actually be Shikizaki Kiki. Kiki-Houou claims that Dokutou Mekki is simply a sword with the ability to house his spirit and that he has been living throughout time simply to falsify history. Kiki-Houou reveals that he actually isn't a swordsmith at all, but rather a soothsayer. In one of his visions he saw a foreign army invading Japan and this premonition rallied him into action. By combining future technologies and techniques that he saw in other visions modern day weaponry, he hoped to create a Japan that would eventually be strong enough and battle tested enough to withstand the incoming invasion. After explaining his reasons, Kiki-Houou says that he has finally found an ideal body and proceeds to challenge Shichika, his final deviant blade, who defeats him.
Houou battles against Shichika
A short time after the battle, Shichika and Togame are approached by Enomzaemon who guns down Togame on the order of Princess Hitei.