Moomyung decides to enter the capital with Moon to find Moon's family even though the capital is only allowed to those with entry permits. Their only clue is Moon's necklace, but they ask around to find at least one person who knows something about it. Meanwhile, Queen Jiso offers Wehwa to be the teacher of a new group consisted of True Bone young males.
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The Crown Prince of Baekje offers Princess Sookmyung a wedlock to keep peace between two nations. He also receives a secret letter that says the King of Silla is within the delegation. In order to find out who the faceless King is, he threatens to kill Silla hostages if the King doesn't reveal himself.
To maintain their alliances with Baekje, the Queen and the officials decide to send the Princess and a few members of Hwarang to see the Crown Prince of Baekje. It is Hwarang's first mission to escort the Princess as the amity delegates, but it is also dangerous that they might not be able to return safely.
The princess wants the Hwarangs to have a bloody fight as if they were in a real war, but they only pretend to spar because they do not want to harm any of their colleagues. Suspecting Seonu to be the King, Master Youngshil suggests a match between his guard and Seonu to see how Queen Jiso reacts.
Queen Jiso orders the Princess to get rid of Aro without anyone knowing in order to protect the King. The Princess tries to kill her by shooting an arrow, but fails to do so as Seonu takes the arrow instead of her. Jidwi becomes furious and warns the Princess that he will never forgive her if she tries to harm Aro ever again.
The Hwarang's performance faces an extreme crisis while Master Hwikyung visits Master Ahnji and tells him something meaningful about Queen Jiso. Meanwhile Seonu and Sam Maekjong finds out that Aro has disappeared and they set off to find her and Sam Maekjong locks horns with his mother, Queen Jiso.
Hwarang has practiced a lot for their performance, and everyone is expecting to watch it at the festival. However, Master Youngshil orders Banryu to ruin the performance so that the people see how unprepared and incompetent the Queen's Hwarang is. Banryu hates that he must follow the order when he wants to make it successful with other members.
Hwarang's second assignment is to give a music performance at the Thanksgiving Festival. Wooreuk, the master of instruments, visits Hwarang House as an instructor. The members practice day and night to show the amazing performance to the people and the Queen. Meanwhile, Aro goes to talk to Wooreuk after finding out that he raised her brother.
Master Ahnji offers Moomyung to stay in his house and pretend to be Seonu, his son and Aro's brother. After hearing this could be Mak Moon's will, Moomyung agrees to stay, but he feels so bad because it seems like he's taking away his best friend's place. Aro is still suspicious if he is really her brother, but she's happy that her brother is finally back.
Mak Moon gets killed by the Commandant just because he has seen the face of the King. Moomyung gets furious and decides to take revenge on those who killed his best friend. Meanwhile, Master Ahnji hears the news about his son and searches everywhere in the capital all day, but it is too late when he finds Mak Moon dying due to the severe injuries.
Moomyung decides to enter the capital with Moon to find Moon's family even though the capital is only allowed to those with entry permits. Their only clue is Moon's necklace, but they ask around to find at least one person who knows something about it. Meanwhile, Queen Jiso offers Wehwa to be the teacher of a new group consisted of True Bone young males.
As the awakened Imoogi (serpent) coils up the pagoda, Sadam is ecstatic, claiming the dragon god is ascending. Jo Sang Heon and Moo Seok move to save Do Ha, while Lee Rin resolves to destroy the Imoogi.
Lee Rin confronts Park Soo Jong, who holds the royal seal. As soldiers attack Lee Rin, Sadam appears, threatening to kill the Queen Dowager unless Lee Rin hands over the seal.
Park Soo Jong threatens the Queen Dowager for the royal seal, warning of a bloodbath. Meanwhile, Lee Rin discovers the seal's location using a jade ring given to him by the Queen Dowager.
Park Soo Jong orders Lee Rin to be bound. As he's dragged away, Lee Rin shouts that the rebellion is reckless. The Queen Dowager warns Park that he will never get the royal seal if he harms Prince Wolgang (Lee Rin).
Enraged, Lee Rin tries to show Park Soo Jong his mother's blood-written letter, but Rang stops him. Soo Ryun tells her father that his power is the only way for her to have Lee Rin, insisting he must not lose.
As Lee Rin speaks to Kisan, Court Lady Kim tries to tell him something. When Park Soo Jong enters, she glares at him. Park reports to Kisan that the Night Watchmen are gathering around Prince Wolgang (Lee Rin).
Lee Rin sees Park Soo Jong with Sadam and tells Kisan that Sadam is the true cause of the smallpox, but Kisan refuses to listen. By Sadam's spell, vengeful spirits are sucked into the Imoogi's (serpent's) reverse scale.
Lee Rin asks Moo Seok to join him in fighting the smallpox goddess (Mamashin). Meanwhile, Soo Ryun is tortured.
Lee Rin informs Jo Sang Heon that Sadam is the one who gathered the vengeful spirits. Sang Heon then explains what happened to King Haejong. Park Soo Jong refuses to ally with the 'lowly shaman' Sadam and has him thrown out.
Lee Rin asks Jo Sang Heon what happened to his father, but Sang Heon coldly turns him away, saying it's none of his business. Meanwhile, Sadam and Hojo are pleased, believing vengeful spirits will heal the dragon god.
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