Billy and Jimmy Lee return to their home city after years away, summoned by a letter from their master. The place they remember is unrecognizable: a gang-controlled wasteland called Bloody Town, run by crime boss Koga Shuko, who has turned the streets into a recruiting ground through a martial arts tournament. Shuko's real target is the Double Dragon medallion—one half of which he already possesses—because whoever unites both halves gains unlimited power. Billy uses the fictional Sou-Setsu-Ken style with faster techniques; Jimmy trades speed for raw strength. Both brothers share a transformation super move that alters their entire move set. The twelve-fighter roster—drawn largely from the Double Dragon film—also includes Marian (a gang leader and childhood friend), Abobo, former wrestler Burnov, kickboxer Eddie, ninja Amon, drunken-fist master Cheng-Fu, and dual-tonfa specialist Rebecca, among others.