The Useshiba Academy, at first offered introductory courses, mainly to Omoto_kyo followers. Later as Moreihei's reputation grew outsiders began to train at the Academy.

In 1921 the authorities suddenly clamped down on the sect and the leader was arrested. Morihei took over the administration of the land which he farmed as well as continued teaching at the Academy. Morihei began to realize,  in his everyday life, the belief that there is unity between martial arts and agriculture. From this period on Morihei's practice of martial arts began to take on a more spiritual character. This led him to break away from the conventions of the current martial arts and develop his own original approach to break down barriers between mind spirit and body.   

In 1924 Morihei left Ayabe in secret to go to Manchuria and Mongolia in search of a holy land where they could found a new world government based on religious precepts. Unfortunately the journey was ill fated and along with others Morihei was aressted by the Chinese army and sentenced to death. It was only the intervention of a Japanese consular official that saved them and allowed safe passage back to Japan. 

In 1925 Morihei underwent a spiritural transformation. While washing at a well he experienced a complete serenity of body and spirit. He felt that he was bathing in golden light that poured down from heaven. After this he realised that it would be better to change the name meaning from, the art of Aikido, to the, way of Aikido.

Morihei attracted the attention of a number of distinguished followers. At the invitation of Admiral Takeshita he went to Tokyo and taught at the Crown Princes Palace. Morihei established dojos in both Tokyo and Osaka. In Osaka he taught at many of the local police stations.

Later as his fame spread throught out Japan he was invited to Manchuria to give demonstrations, including one for the Emperor Pu' Yi

With the outbreak of war more students were called up for the army. Morihei left his son in charge of the Tokyo Dojo and he and his wife moved to Iwama where they lived a quite life in a converted barn until the end of the war.

It was during the war in 1942 that Morihei called his system Aikido "The Way of Harmony and Love"  

At Iwama Morihei began construction of what he called the birthing room or inner sanctum of Aikido including the Aiki Shrine and an outdoor dojo. this was completed in 1945 just before the end of the war. After the war martial arts went into a decline. Morihei continued to live in Iwama living a simple live farming and teaching young people from the sourrounding areas. 

From 1950 onward Morihei began once more to travel around Japan to teach and give lectures. Aikido grew in popularity all over the world and in Japan new dojos were set up all over the country.

In Feburary 1961, Morihei went to the United States on the invitation of the Hawaii Aikikai. Morihei said he had come to build a silver bridge to bring the different countries of the world together through the harmony and love contained in Aikido.

In 1967 a new Hombu Dojo was constructed in Tokyo. In January 1968 a commemorative ceremony was held in honour of the new Hombu Dojo, Morihei spoke about the essence of Aikido technique. Later that year Morihei gave what was to be his last demonstration of Aikido. In 1969 he attended the New Year's celebration at the Hombu Dojo. Although he appeared to be in good health at the time, his physical condition deteriorated rapidly and he passed away peacefully on April 26th 1969.

Kisshomaru Ueshiba was elected to succeed his father on June 14th 1970.