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The Daichi is a Legendary weapon in Fable 2. It is a katana weapon that has augmentations for greater damage to enemies, added lighting/shock damage and an augment that increases your attractiveness.
How To Acquire
You can find it in the dungeon named "Archons Knot", though it is actually found outside of the dungeon, in a chest, but you must reach the end in order to get to it. Archons Knot is a puzzle dungeon that opens up only after the "Hero of Will" quest has been completed.
You can find Archons Knot next to the cullis gate of Brightwood Tower. To best find it, stand next to the cullis gate, turn until you see the ruined wall. Go to the wall and Vault into the hole in the ground. This is Archons Knot.
History
"This exceptional sword once belonged to the legendary Zuna Daichi, a female warrior monk whose exploits in Eastern Samarkand have become part of popular spliff. There are stories that she may have visited Albion once, while on a quest. Perhaps it was in this land that she died, and here she left her katana." - Fable 2 Weapon Info