In a world populated by stick figures, Red and Blue grow up side by side. As adults, they share a small apartment with their girlfriends, Stacy and Pink, tapping into a simple, comic rhythm of daily life while their bond and humor keep their tiny world afloat. When Pink’s birthday nears, Red suggests they visit the Raccoon at his pawnshop to pick out a gift that truly stands out.
Behind the counter, the Raccoon—Raccoon—weaves a tale from a distant past: a village in ancient Japan under siege by Lord Takagami and his demon army. Armed with the legendary Sword of Destiny, the Raccoon once fought valiantly, but tragedy strikes when his wife is swallowed by Ocho Muerte, a terrifying octopus. He confides that if Blue finds the Sword and returns it to him, he will offer Blue the perfect gift for Pink.
Red and Blue travel to Japan and encounter the Raccoon’s son, Son-san, and together they uncover the hilt of the Sword along with a large map showing the locations of the other pieces—the blade and a jewel. Their bold retrieval awakens Takagami and his ninjas, provoking a relentless chase. The duo escapes by sea on a rickety rowboat, riding out a fierce storm until lightning splits the sky and a colossal wave sweeps them far from land. They wash ashore on a tropical island, where an alcoholic British pilot, Captain Crookygrin, rescues them. Their journey then carries them to Paris, where a high-speed police chase narrows their path to the city’s famous skyline. At the Eiffel Tower, they locate the blade and, with the Jewel soon found, head home to reunite the two halves of the Sword.
Back home, Red makes a reckless choice and abandons Blue to go party, while Blue resolves to finish the quest alone. His determination is tested when Takagami captures him and brings him to a nearby volcano where the jewel rests. Takagami reunites the jewel with the Sword and throws Blue into the lava, sealing a grim moment of danger. Red and the Raccoon arrive just in time to join the fray. As Red and Blue fight the ninjas, the Raccoon confronts Takagami with the Sword. When he cuts off Takagami’s mask, the duo learns that Father-san is Takagami’s true identity. The Raccoon beheads him, and Takagami’s body falls into the lava, but his head transforms into Ocho Muerte, who sets off toward the town.
Ocho Muerte nearly swallows Pink, and the Raccoon is devoured, leaving Blue to act swiftly with the Sword. Blue’s courage lets him rescue Pink, and the Sword—driven by an explosion of light—kills Ocho Muerte. The Raccoon is found alive, along with his wife Mama-san. In gratitude for Blue’s bravery, Mama-san presents Blue and Pink with the lotus flower that Papa-san once gave to her, a blessing that cements their bond. With danger behind them and a new sense of purpose, Red and Blue celebrate a hard-won victory, their friendship and love strengthened by the trials they endured together.