Princess Arete lives confined to a tower by her father, the King, isolated from the outside world while awaiting marriage to a suitor who proves worthy through treasure-collecting quests. This seclusion ignites a fierce curiosity about life beyond her prison, compelling her to secretly venture into the town below. There, she observes the daily lives of common people, deeply admiring their autonomy and practicality.

Her encounters with suitors like Dullabore and the Blond Knight reveal her sharp discernment; she sees through their boasts of heroism, recognizing them as thieves dependent on stolen magical artifacts rather than possessing genuine virtue. This critical perspective fuels her rejection of traditional princesshood, as she values self-sufficiency and truth above superficial displays of nobility.

A pivotal discovery comes when she finds a book detailing ancient witches' and wizards' creations, deepening her understanding of magic and history. Her yearning for freedom drives an escape attempt, but she is captured and returned to the castle. There, the sorcerer Boax enchants her into passive compliance, manipulating her appearance and will to fit a submissive princess mold. He transports her to his distant castle, imprisoning her in a dungeon to prevent a prophecy foretelling she would end his immortality.

Initially, Arete succumbs to the enchantment, passively wishing for rescue. However, her friendship with Ample, a villager tending to Boax, becomes transformative. Ample’s independence—demonstrated by digging a well to free her village from Boax’s control—inspires Arete to reclaim her agency. Through introspection and Ample’s encouragement, she breaks the enchantment, regaining her critical mind and resolve.

Unaware of her restored will, Boax tasks her with retrieving a ruby from a golden eagle. Instead, she investigates his castle, uncovering the technological source of his water-manipulation "magic" and recognizing his limitations as a survivor of a lost civilization. In confronting him, she inadvertently triggers the castle’s destruction and the release of water to the parched village. This act fulfills the prophecy, stripping Boax of his immortality gem but granting him human perspective.

Having restored the village’s wellbeing, she chooses not to return to her former royal life. Her journey concludes with a visit to the golden eagle, symbolizing her reclaimed curiosity, followed by a decision to live autonomously among ordinary people. She embraces a hands-on existence, valuing practical creation and connection over royal isolation, embodying her belief that true "magic" lies in human ingenuity and self-determination.