The Punk Hazard Arc is the twenty-sixth story arc in the series and the first in the Pirate Alliance Saga of the One Piece series, continuing on from the Fishman Island Arc and the Fishman Island Saga. Upon finally entering the New World, the Straw Hat Pirates immediately receive a distress call from a group of people on an island called Punk Hazard, stating that they are being attacked by a samurai.
Without hesitation, Luffy sets out to the blazing island, with Vice Admiral Smoker hot on his tail. On the supposedly death-ridden and empty island, the Straw Hats soon learn that they are not alone, meeting many new and old foes as they explore the purpose of the island. Punk Hazard is the first island the Straw Hats encounter in the New World, and is made up of a frozen side and a burning side. The island also contains the abandoned research laboratories of Dr. Vegapunk.
Morning comes and a News Coo delivers the paper which indeed reads that Doflamingo abdicated his position as a Shichibukai as per Law's demands as well as his royalty of Dressrosa. However, there is also a picture of Luffy and Law and an article stating their alliance much to the crew's surprise. Also in the paper is news regarding Kid, On Air and Hawkins Pirates alliance as well, though Law is unconcerned with it. He then explains his next phase of his agenda to the crew. On Dressrosa, the people of the island are confused and in an uproar over the news of their king's sudden resignation while Doflamingo is in his office reading. Law's Den Den Mushi rings which he then answers.