Luffy falls defeated after Kaidou's decisive blow, and Momonosuke and Law note that his "voice" has disappeared. After attacking the interfering CP0 agent, Kaidou enters the Skull Dome, and although most of the alliance believes Luffy to be dead, they still intend on fighting until their last breath. Kaidou demands that Momonosuke come to face him, intending to kill the latter to officially put an end to the conflict. Momonosuke initially wishes to surrender, but Yamato convinces him to stay defiant and face death with her. Right then, Zunesha speaks to Momonosuke, revealing that Joy Boy is indeed at Wano; as the elephant says this, Luffy is shown grinning as his body appears to undergo a transformation.
Long Summary
Kaidou’s attack causes Luffy’s Gear Fourth to finally wear off, and as he returns to normal, he lands on the ground unconscious once again, with Momonosuke even realizing he can’t hear his “voice” anymore. Though Kaidou was named the victor, he was livid that history repeated itself again, with him achieving victory due to another person's interference. He walks over to the lead CP0 agent and asks if he is prepared to face the consequences for his actions. The agent says nothing as Kaidou brings Hassaikai down onto him, with the last CP0 agent silently acknowledging his fate.
Kawamatsu orders the samurai to find a way to escape the burning castle as there is no way they can put out the fires, and he sees no honor in burning alive. Just then, Kaidou descends to the castle in his dragon form declaring to the samurai that Luffy is dead and to make Momonosuke to step forward and surrender to him. The Beasts Pirates cheer for Kaidou’s victory while the samurai despair, with even Kid and Law acknowledging this bitter turn of events. While those like Chopper and Tama cry for the loss of Luffy, Nami refuses to believe Kaidou’s words, even revealing herself to him to say so. He fires a Bolo Breath at her but Marco blocks it while yelling for everyone not to give up until it’s over.
Kaidou then declares that Onigashima will still drop on the Flower Capital, and unlike Orochi, he is going to put everyone who lives in Wano to work to produce weapons, as that is all he sees Wano is; a source of cheap, free, and replaceable labor. His words cause the samurai’s morale to waver as he once demands Momonosuke presents himself, while the Beasts Pirates decide to take out Law and Kid only to be held back by their respective groups. Carrot and Nekomamushi decide to rejoin the fight, while Kid and Law force themselves to stand back up as opposed to letting Kaidou kill them both.
As for Momonosuke, he decides that surrendering might be the best option for everyone if Luffy can’t beat him anymore, but Yamato retorts that even if surrendering may save everyone present, eventually they will all die from exhaustion as Kaidou’s slaves, and because of that, she won’t stop fighting, even claiming that Kaidou is at his limit too. She also reminds Momonosuke that this battle carries 20 years worth of weight on the people of Wano, so with that, she would rather die with him than surrender. Momonosuke accepts her words, and the battle rages on, with him stopping pulling the island away to join in the fight.
Suddenly, Zunesha speaks to Momonosuke and tells him that it can hear the “Drums of Liberation” for the first time in 800 years, and proclaims that Joy Boy has returned, just as Luffy starts to smile and steam starts coming out of his mouth while an unknown substance starts to envelope him