This sacred sunken site has witnessed centuries of ruin and rebirth. Founded in the mid-eighth century (traditionally dated to 765) as Potalaka Temple during the Nanzhao Kingdom, the sanctuary burned to ash in 1255 during the Mongol conquest. In 1301, a high-ranking provincial official named Axisi, the Left Vice Commissioner of the Yunnan Branch Secretariat, began an eighteen-year effort to rebuild the complex, renaming it Yuantong. In 1668, the warlord Wu Sangui expanded the grounds, moving the main gate south. The grand Yuantong Shengjing Archway, attributed to either Wu Sangui or the earlier Ming official Mu Ying, also dates from this period of expansion. Even the cliffs at the rear bear the marks of human struggle. The poet Sun Ran (also known as Ranweng) once lived in poverty on the Zhoujiao Terrace behind the monastery, earning a meagre living by telling fortunes and selling herbal medicine.

The architecture is a masterclass in water-centric design. At the lowest point of the slope lies a massive central pond, its green waters reflecting the sky. In the centre sits the Octagonal Pavilion, representing the Eightfold Path, connected to the banks by three-arched white marble bridges. North of the water, the Yuantong Precious Hall preserves its fourteenth-century style. Inside, two ten-meter-tall pillars are wrapped in yellow and green clay dragons, their scales sculpted by Ming Dynasty artisans in painted clay. Along the walls, five hundred clay Arhats, crafted during the Guangxu reign of the Qing Dynasty, stare out with distinct, lifelike expressions.

To the east, the Puguangming Hall houses Tibetan Buddhist icons, with a central image of Vairocana Buddha flanked by gilded bronze statues of Padmasambhava and Tsongkhapa. At the rear, the Copper Buddha Hall, built in a style blending Thai, Burmese, Indian, and Chinese architectural elements to house a Theravada Buddhist shrine, contains a four-ton bronze Sakyamuni Buddha gifted by the Buddhist community of Thailand. The monastery serves as a rare crossroads where three distinct Buddhist traditions coexist. The main hall represents Han Mahayana Buddhism.