In the Land of Elves lies a castle. Here live the elf king and queen with their knights, who shall fight against the many enemies of the elves. One day, when there is a party at the castle, Grim, the giant bursts in and wants to take over the castle. He challenges Acorn to a sword fight, but the only sword that can defeat a giant, is the Giant-slayer, which is hidden in a dragon's cave. Will Acorn and Rosehip dare to accept the challenge?