| This is starting to sound like a bad comic book plot|
This character is non-canon to Spider-Man: The Animated Series.
Shou-Lao is a demon from K'un-Lun. He appeared in the Ultimate Spider-Man television series.
Before Danny Rand became Iron Fist he fought and defeated Shou-Lao and after his defeat Danny's chi powers began to manifest.
When the demon called Nightmare trapped Iron Fist and Spider-Man in the Dream Dimension, Iron Fist confronted Shou-Lao in his dreams. However, Shou-Lao was able to drain Iron Fist's chi energy. Shou-Lao then told Iron Fist that he squandered his gift by running with nonbelievers and fools. As Spider-Man ran up to Iron Fist to snap him out of the dream Shou-Lao used his magic to enclose Spider-Man in a cage. As Shou-Lao circled Iron Fist he told him that he was weak and unworthy. However, Iron Fist was able to overcome his own fears and regain his chi power and use them to defeat Shou-Lao