According to Master Fung, Atlantis was destroyed by the Evil Dojo many years ago. Much later, the ruins of Atlantis were discovered when Raimundo, Clay, Kimiko, and Jack Spicer traveled underground and were trying to escape the spiders. They were later followed by Omi and Chase Young. It turned out that the city was holding the egg chamber and queen of the spiders. The city was completely demolished by lava to stop the spiders.
The city was vacant and underground, but surprisingly not underwater, as according to legend. It resembled an ancient Greek or Roman city, due to its various statues, columns, and other architectural designs. However, it also had a futuristic twist on the appearance of the metropolis. The city was also apparently located underneath Old Faithful.