Using a modified version of the Dynasty Warriors 3 engine, Mystic Heroes is an action game based on the Japanese animé Houshin Engi. As lead character Taikoubou, players embark on a noble quest to cleanse the world of evil spirits to protect Earth's powerless citizens. Armed with a special wand, Taikoubou must systematically confront each evil spirit in eight distinct regions before being released from his duty. During the journey he will venture through various towns, outdoor areas, and castles on his way to challenging the bosses in each level. Four different spells and various magic items can also be acquired for battle, and the 3D terrain can be used for strategic purposes while attacking. Taikoubou will interact with multiple characters from the 26-episode animé series, some of whom will join in the epic fight.