The Hidden Leaf Village is located in the Land Of Fire and is also home to Naruto Uzumaki, his friends, and the Hokage. Sixteen years ago, the Nine Tailed Fox, also known as Kyuubi, attacked the Hiddden Leaf but the Fourth Hokage, Minato Namikaze, sealed the demon inside of young Naruto. Later in the series, it is told that the people of the village are Senju descendants of the Sage of the Six Paths, who possesed th Rinneangan. The Sage of the Six Paths bestoed his power in his two sons. The older son was born with the Sage's eyes. Heinherited the Sage's chakra and mental energy and believed that strength was crucial to peace. The younger son was born with the gift of the Sage's body. He inherited the Sage's life force and physical energy, and believed that love was crucial to peace. Ultimately, the Sage was forced to choose his successor from his deathbed. However his decision, created a curse of hatred that had continued for generations. Instead of his older son, who sought strength, the Sage felt that the younger son, who sought love, was more suitable, and named him as his successor. The firstborn, who had long expected to follow in his father's footsteps, could not accept the decision. Filled with rage, he challenged his younger brother. Even as time passed and new generations were born, the descendants of the two brothers, continued to battle. The descendants of the older brother came to be known as the Uchiha. As the descendants of the younger brother were called the Senju. The leader of the Uchihas at that time was Madara Uchiha who battled Hashirama Senju, the First Hokage. Madara said that their fate to battle was destined and the battle took place in Final Valley, and Hasirama triumphed over Madara. Naruto and Sasuke's battle also happened there and thus the statues of Madara and Hasirama beside the Waterfall, the waterfall was also said to be Madara's death place; although, he lived on. Naruto is a descendant of the Senju, and when confronted by Madara the second time, Madara tells him that he sees the First Hokage's Will of Fire burning inside of him.
The Leaf village was destroyed by Pain on an attempt to find Naruto after he had gone to train with the toads like Jaraiya had done. Pain had utterly destroyed the village by the time Naruto returned. All that was left of the village was a large hole With countless people dead. In the battle of fighting Pain, the Nine Tail's Cloak enveloped Naruto and his tails grew to 8 almost turning completely into the Demon Fox, All that was missing was the fur and skin. Inside Naruto's conscious, the fox tried to manipulate Naruto into breaking the seal so it could kill Pain for him. But as he was just about to do it, his father, the Fourth Hokage, stopped him. This happened because during the sealing process, when the fox was first being sealed into Naruto, Namikaze left some of his chakra inside Naruto to stop him before the seal broke. Upon seeing Minato, the Fox became enraged and tried breaking through the bars that sealed him to try and rip Minato to shreds. An image was projected inside Naruto for Minato to be seen and they both talked as father and son, after the talk Minato told Naruto that this was the first and final time he would stop the fox, for all of his chakra left in his son was gone. Naruto then calmed and went back to his regular state; the fox was still sealed inside of him. After Naruto won the battle against Pain and confronted him. They both talked and Nagato, also known as Pain, returned the people of the Leaf back to life using the Rinneangan he possessed.