Author's Note: What if the Kyuubi had children? This is my attempt to simplify the Naruto universe. More or less, imagine it as a simplfied AU. I will try to use things only brought up by the first half of the series. If an organization or person was not at least implied to exist in the first half of the manga, they probably won't show up and their loose ends will be tied up accordingly.
Once upon a time, there was a wonderful land known as the Country of Fire. Within the Country of Fire was the Village Hidden by Leaves. This village had a very special man leading it. He was a blonde wonder boy, the Fourth Hokage. His name was Minato Namikaze. He had recently taken a week vacation with his wife, who was roughly nine months pregnant. They desired to get away from the pressures of leading the Leaf people, but promised to return shortly. While he was away, a man named Danzo was left in charge. Danzo cared deeply for the people, but was concerned mostly with his personal pride.
But, that is not where our story takes place. Within the Uchiha compound, several Leaf police officers waited in the Department Headquarters, devising a plan. Recently, about ten women had gone missing. They ranged from simple civilians who could have been snatched by anything that escaped from the Forest of Death to even one jounin kuniochi, a Nara. Everyone was in a bit of an uproar over the absence of the women, so the Uchiha men knew they would have to work furiously to track down the women.
Beyond the main city but still within the barriers of the village was a single cave. A man cloaked and masked traveled through the night, eyes red with a stolen power. He had infiltrated the village during the festivities arranged to prepare for the birth of the Hokage's first born. The man moved toward the cave, following the sense of a woman whose abilities he had briefly stolen. The cloaked man wondered what her wonder boy husband would do as soon as the child was born and the man would be free to track this stranger down.
The man stopped at the mouth of the cave, waves of chakra rolling gently from within the cavern. The chakra was demonic, riddled with desperation and something vile. The outcast stepped in, walking carefully among the naked bodies of women. His target slept among them. The masked man kicked spitefully at the sleeping creature.
The creature awoke, super compressed form expanding a bit as it registered the threat the man before him posed. "Madara!" the orange beast called out, only to pause. "No, not Madara… almost." All the same, the orange beast lunged at the man, the two of them hurdling outside the cave and down a slight slope.
The man grinned beneath his mask. "The Nine-Tailed Demon Fox… don't you think it's time to listen to someone of your master's bloodline again, hm?" The man's red eyes span, sharingan possessing the orange beast. The beast stepped off the masked man, standing still. The masked man looked toward the delighted village. "Kill them all."
The fox obeyed, shifting into his full form and pouncing toward the village with full intentions of completely destroying the place.
What happened that day was altered for book history of future generations of ninja within the Leaf Village. The story of the Nine-Tailed Demon Fox went as so: the fox is a beast drawn from anger. Thus, it sensed feels of discontent and was drawn to the village randomly as a result. Their brave leader, the Fourth Hokage, defeated the monster in battle only to succumb to his wounds later.
Sadly, the tale did not end there. Upon discovering the cave, the police officers found the missing women. All were found pregnant, most assuming that the father was the Nine-Tailed Demon Fox. Most of the women had an abortion just in case, unwilling to bear a half-demon child. Only two women declined, unsure if the child was their husband's or the fox's, and trusting that the child would be born holding the good nature of the village rather than the monster that had plagued it once.