In Swords of Destiny, gamers assume the role of Lei Yun, an apprentice on a dangerous mission against dark forces that are trying to take over the world. Powerful demons known as Gyakki, who previously had been defeated by Lei Yun's master have returned and are now under the control of a tyrannical Empress. The Gyakki are determined to bring death and destruction, with only Lei Yun standing in the way.
Lei Yun must battle his way through a whole host of demonic adversaries, using three magical swords handed to him by his fallen master and weapons dropped by the demons he defeats. The three main swords give the player new abilities when equipped. There are 48 usable weapons, some of which appear depending on how opponents are killed, each with their own unique attributes.
The graphics in Swords of Destiny are detailed and based around an ancient Chinese setting. Gamers can fight enemies on the ground or in mid-air, using the intuitive 'Sword Time' combo system that delivers realistic combat action.