Demon Gaze opens with the main character, Oz, waking up in a dark, damp dungeon. Following the typical JRPG trope, Oz doesn’t recall who he is, where he’s from, or what he’s doing. He doesn’t have time to figure this out, as he quickly learns he’s in a dungeon with a demon in it. Given a sword, Oz defeats the demon named Comet and captures her with his Demon Eye. Why does he have a demon eye? Well, Oz turns out to be the “Demon Gazer,” a person who can capture demons withing his eye and use them for his own advantages. Oz emerges from the dungeon to find he’s inside an Inn run by the collecting rent obsessed Fran, who employs Oz to capture demons for her own unknown motives. This inn is seemingly the only safe haven left in this demon and monster laden world, but it seems like only the most ridiculous people where able to find solace there.