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As a sect of The Complete Perfection Tradition, the Encountering Immortality sect, which held the Cultivation and Refinement of Purity and Tranquility as its core, was founded by Ma Yu, alias Perfect Man Changxuan, who was one of The Seven Perfect Ones of the North. His pen name was Xuanbao and he styled himself Dan Yangzi. In the sixth Zhiyuan year (AD 1269), the Yuan emperor Shizhu granted him the title 'Perfect Man Danyang of Non-Interference Who Embraces Oneness'. He was also given the title 'Perfect Sovereign Danyang of Non-Interference and Universal Transformation Who Embraces Oneness,' by the Yuan emperor Wuzhong.


After Patriarch Wang Chongyang's death, Dan Yangzi founded the Encountering Immortality sect and spread it far away. According to the book Record of the Ascension to Perfection of Perfect Man Ma Danyang, numerous people from different districts came to him in excitement as if they were seeking for their loving father. They all pleaded eagerly to follow him as disciples. Among them were Chao Xu, Nei Datong, Liu Zhenyi, Yu Zhidao (or Zhiyuan), Yang Minzhen and Li Dachen.


According to the 53rd scroll of the book Autumn Stream Essays, entitled 'The Numinous Emptiness Temple of Zuocheng County', in AD 1232 Li Zhiyuan had Daoist temples built outside the northern gate of Dianjing, preaching to rioters, among whom most gave up their tainted life and joined Daoism, enjoying a new life.


The records mentioned above show that the Encountering Immortality sect remained prosperous even after the life of Ma Yu.