M. in Village in the Shade is always a risky move since rare loot comes bundled with aggressive yokai.
If you want to defeat chochin obake and roam the night safely, you need to know how their patrol mechanics work. This walkthrough covers every shrine location, stealth tips, and the exact rewards you will earn for clearing them out.
These lantern ghosts caught me off guard the first time I ran past 11 P.M., quickly draining my stamina before I realized how fast they actually move. Trust me, running blind into the dark streets without a plan will only get you cornered and chased back out of town.
Keep your flashlight charged and your pickaxe ready before you head out into the dark streets for this nighttime hunt. You will find everything you need to clear the village of these pests right here.
How to Defeat Chochin Obake in Village in the Shade

When these lantern ghosts spawn, a glowing apparition will flash in front of you before fading away into the darkness. They patrol the streets with a distinct blue cone of vision that you must avoid at all costs. Stepping into their sightline turns them hostile instantly, and since they outrun you, your only real escape is fleeing the village entirely to drop their agro.
Banning these yokai from the village for the night requires smashing five hidden shrines using your pickaxe. These targets remain completely invisible unless your flashlight is shining directly on them, so keep it toggled on at all times. Check the following locations to track down every single one.
The first target sits right on the spot where the Street Vendor sets up shop during daylight hours.
Head north toward the roadway beside the Kusonoki Clinic to spot the next target resting near the Jizo Statues.
Proceed counter-clockwise around the map to locate another target tucked neatly between the watermill and Nago house.
Sneak past nearby patrols and cut through Yuta garden to find another target waiting just west of Yuta house.
The final target rests underneath a large tree right near Kiki Construction.
Smashing every single one triggers a notification that a new structure has appeared in the area. Head straight to the central plaza to find a much larger shrine waiting for you. Strike it repeatedly with your pickaxe until it shatters, which completely banishes the Chochin Obake from the village.
Shattering the final structure yields your well-earned reward for clearing the area of spirits. Your first successful clear grants you a useful scarecrow, while subsequent completions award house decorations, multiple magatamas, or dorotabo seeds to plant.
Pro tip: Always check your stamina gauge before engaging the central plaza structure so you can swing your pickaxe uninterrupted.