Byeok Gyesu's attempt to take Jini as his concubine fails. Infuriated, he orders the dancers to stop dancing and start pouring him some liquor. However, Baekmu argues that the dancers have to finish their dance.
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Kang Chi and Yeo Wool are attacked by dark shadows. Kang Chi, unfamiliar with such opponents, is cut multiple times while fighting back. Hearing Kang Chi is injured, Chung Jo visits him out of worry, and they share an affectionate hug. Yeo Wool witnesses their embrace.
Jo Gwan Woong visits the Hundred Year Inn. Tae Seo politely informs him there are no empty rooms, but Gwan Woong becomes enraged and causes a scene. Kang Chi, who had been kicked out by Lady Yoon, hears the news and, after some conflict, returns to confront Jo Gwan Woong.
Following Buddhist Monk So Jung's advice, Park Mu Sol adopts and raises Kang Chi. Afterward, he succeeds in all his endeavors, building the Hundred Year Inn, the best in the south. Now an adult, Kang Chi causes trouble while trying to stop the marriage of his first love, Chung Jo.
Having given his heart to Seo Hwa, Gu Wol Ryung wishes to give up his immortal life to become human. He seeks to obtain the Gu Family Book by observing three taboos. Wol Ryung and Seo Hwa hold their own wedding and spend happy days in the Moonlight Garden, but Jo Gwan Woong remains relentless in his search for the missing Seo Hwa.
In the Moonlight Garden, rumored to be home to ancient mountain spirits, the guardian god of Jiri Mountain, Gu Wol Ryung, roams the human world. When Yoon Cham-pan is falsely accused of treason and executed, his daughter, Seo Hwa, is sold off as a gisaeng.
Jini dances the same dance again in the market, but is flustered when she is completely ignored.
Byeok Gyesu's attempt to take Jini as his concubine fails. Infuriated, he orders the dancers to stop dancing and start pouring him some liquor. However, Baekmu argues that the dancers have to finish their dance.
Baekmu and Jini are working on the Crane Dance for the royal feast, but Jini is thinking something else. Baekmu is disgruntled, believing that Jini is not focusing because of Kim Jeonghan.
Jini gets closer to Mumyeong intentionally when she sees Kim Jeonghan approaches. He freezes and turns his back.
Byeok Gyesu's geomungo indeed interests Jini. Jini tries him with a song. Byeok Gyesu gives in and is humiliated in front of Jini.
Jini is left alone on the stage due to Buyong's conspiracy. Jini overcomes it with her wit, but the dance fails.
Kim Jeonghan is knocked unconscious, trying to protect Jini from the falling beam. Learning that it was intentional, Baekmu corners the courtesans.
At the appeal from Eunho who declared that he will marry Jini, Su says it will be considered and sends him home. When he leaves, Su orders that Jini shall be arrested immediately.
To keep her chastity for Eunho, Jini declares to Baekmu that she will become a water maid, instead of a courtesan. Baekmu accepts it and suggests a test to Jini.
Eunho hands the token of eternal love to Jini, who cries the tears of joy. At home, Eunho declares his decision that throws back Cha.
After finding out about Jini and Eunho, Cha storms to the courtesan's school in anger. Jini is humiliated by Cha, while Baekmu is severely burned while trying to protect Jini.
Jini opens her heart to Eunho's true love and they love each other dearly. In the meantime, the city government issues an order to select the courtesans for the feast, and Suman mentions Jini.
Eunho circles around the government to find his beloved Jini. Finally, he meets her, but he is humiliated in front her when he was found to be one of the thieves.
After much hardship, Jini is admitted to the courtesan's school and meets her mother Hyeongeum. But her mother denies that Jini is her daughter, trying not to pass down the life as a courtesan. However, Jini is hurt by her mother's denial.
Yeong is heartbroken that he has become the person who only makes life difficult for Raon. He asks Byeongyeon to let him see Raon once more, and Raon meets him just to say goodbye. She pretends as if she became a eunuch on purpose as a rebel so that Yeong would forget about her and not feel apologetic for marrying someone else.
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