The story began around 500 years ago in the Sengoku Era of Japan when Inu-Yasha, a half demon tried to steal the Shikon Jewel, a powerful magical item which can turn him into a full-blooded demon. His attempt failed when he was stopped and sealed by an enchanted arrow shot by Kikyo, a priestess charged with guarding the Shikon Jewel who was once in love with Inu-Yasha, but on one fateful day was fooled to believe that Inu-Yasha was the one who betrayed and brutally attacked her, hurting her badly. She died later due to that fatal injury, and Inu-Yasha was sealed and placed into a state of suspended animation...

On the other side of the story, in the modern days of Japan, Kagome, who is Kikyo's reincarnation, lives in a temple that has been kept alive for thousands of years. As told by her grandfather, the sacred grounds have kept its share of secrets and legends through time. But Kagome never really believed any of it, until an accident drew her deep into the Bone Eater's Well...

She ventured back in time and landed in the village where Inu-Yasha had been sealed for 50 years! She was chased and attacked by a demon which was attracted by the Shikon Jewel in her body. Desperate to end a life-threatening encounter, she unknowingly awakened and released Inu-Yasha. They managed to defeat this and a few more demons which were all hunting the Shikon Jewel released from Kagome's body. However, an accident broke the Shikon Jewel and its shards scattered all across Japan and beyond...

The quest of Inu-Yasha, Kagome and their companions to reunite all the shards of the Shikon Jewel began. As they moved on, many things happened around the struggles for the shards of the Shikon Jewel. Kikyo was revived by a demon, and Naraku, the one responsible for the death of Kikyo, was revealed...