The Southern kingdoms join forces to defy the Central nations by ending serfdom and lower taxes to encourage people to immigrate to the South and the Lakeside Convent separates from the Central Church to form the True Church of the Light Spirit with pamphlets and bards spreading their message. Meanwhile, Young Merchant begins buying wheat from the Central nobles with futures contracts which causes food prices to rise as part of his plans. Fearing their food supplies will run out if Central continues importing their food, the South enacts trade tariffs and taxes on exports. Meanwhile in Gateway city, Fire Dragon Princess informs East Fortress General that the Blue Demon clan are up to something while she later meets with Young Merchant in the Human Realm to buy salt as the demons are running out of salt. As Central declares war on the South due to their trade restrictions, Hero asks the Winter King to buy time before the battle begins as he tries to find a way to prevent needless bloodshed between both sides.