Mainly to demonstrate what a twelve-year-old Iron Fist would wind up being.
Full name: Daniel "Danny" Rand-K'ai
Alias: The Immortal Iron Fist
Daniel Rand is the son of billionaire Wendell Rand-K'ai and his wife Heather Duncan-Rand. When Danny was only two years old he was taken on a trip with his parents to China. While mid-flight to their destination, something went terribly wrong with the Rands' plane, and as a result they crashed deep in the K'un-Lun mountains. Danny and his mother survived the crash, but were left wandering desperately in the freezing cold of the mountain range. Through either fate or sheer luck, Miranda and her son stumbled upon the eternal city of K'un-Lun during the rare period every ten years when it intersects with the mortal plane. Miranda was able to beg the Immortals that ruled over the city to take care of Danny before succumbing to exhaustion and hypothermia, and in respect for the woman's dying wish and the child's pitiful state they agreed.
Danny grew up among the Immortals of Kun-Lun, raised by the martial arts master Lei Kung the Thunderer, who tutored him in martial arts from almost the first day of his arrival. He tried his best to be happy, but isolation and bullying due to status as an outsider haunted him constantly. As a result Danny drove himself to excel in every way he could in order to prove the children of the Eternal City wrong. He would be the greatest warrior in K'un-Lun and protect everyone, he thought that at least would earn their respect.
This desire for recognition eventually led to a fateful decision. For all of his life in K'un-Lun, Danny had heard tales of the Dragon Shou-Lao the Undying who guarded his own blazing heart, and who was roused in times of need to defend the city. Even more glorious was the legend that whoever defeated the Dragon would be declared The Immortal Iron Fist, greatest warrior in all of K'un-Lun and master of great and mythical powers. Danny knew that if only he could prove himself to be the Iron Fist, others in K'un-Lun would finally accept him. He trained hard and diligently towards that goal, but impatience and pain burned in him, and nearly ten years to the day of his arrival as an infant, Danny hatched a clever scheme. He snuck out in the dark of night to the cave of Shou-Lao and crept up on the sleeping dragon, then attacked the great beast in its' sleep, grappling with it to cover the scar on its' hide through which legends said its' heart's chi kept it alive.
The dragon woke startled but already weakened, and despite its flailing attacks and the searing agony that burned forth from its scar Danny was able to hold on until its' life ran out. Then, Danny plunged his fists into Shou-Lao's molten heart again and again until his fists were infused by the unconscious dragon's Chi. Thus twelve-year-old Daniel Rand-Kai achieved through guile what he never could have through strength. When the lords of K'un-Lun found out what had happened they were furious beyond belief. Their guardian was dead and would take years to properly reincarnate, and the gift of its' power was in the hands of a boy who, regardless of his vast skill, was still an immature child.
At this point Yu-Ti, the August Personage in Jade, spoke out. According to him while it was true that Daniel was perhaps not ready for the Iron Fist, he had been able to withstand the heat of Shou-Lao's scar, something only a true heir to the title should be able to do. Besides which, as things stood the city had no guardian with Shou-Lao temporarily gone. With these things in mind it Yu-Ti and the Dragon Kings decided to give young Danny the title of Iron Fist. But as a lesson in humility, he was denied immortality and banished to Earth until such time as he proved himself truly worthy of the title and power bestowed on him.
Martial Arts: First and foremost, even for a twelve-year-old child Danny is still an incredibly skilled martial artist, having been trained by an immortal master of numerous martial arts of both K'un-Lun and Earth. While not yet a true master and a far cry from the level of skill that a true Iron Fist should possess, he is still highly skilled in all of K'un-Lun's martial arts and many of Earth's including Karate, Northern and Southern Shaolin styles of Kung Fu, Ninjutsu, Aikido, Jujitsu, and Karate. He is also skilled at using traditional martial arts weaponry of those styles.
Iron Fist Danny is able to perform the signature ability of the Immortal Iron Fist, focusing the Chi of Shou-Lao into his hand to make it temporarily invulnerable and capable of striking with massive concussive force. The Iron Fist can easily shatter stone and smash through steel and strikes opponents with superhuman force. The Chi of Shou Lao can also be focused through the Iron Fist for healing purposes whether to heal Danny or others, though this is not something that can generally be used in combat and it greatly tires Danny.
The Chi of Shou-Lao: Apart from just the Iron Fist, Danny's connection with the chi of the dragon Shou-Lao should allow him to achieve much greater feats, including temporarily giving him superhuman physical strength, speed, reflexes, senses, agility and durability, empowering weapons and projectiles with the fiery aspect of the Chi of Shou-Lao, and even stranger feats like manipulating different kinds of energy fields and weak telepathic abilities. As of yet Danny has learned none of these abilities.
Gymnastic ability : While not nearly the best around young Danny's training in K'un-Lun has made him an excellent acrobat and gymnast.
Bodily Control: As someone trained in the martial arts of K'un Lun Danny is capable of feats of mind-over-body including temporarily deadening his sense of pain and ignoring fatigue and exhaustion as well as slowing his breathing and heart-rate down to a fraction of average.
Near-Peak Physical Abilities: Due to his training in K'un-Lun Danny has nearly peak physical ability for a human twelve-year-old.
Some knowledge of magic: As part of his tutoring in K'un-Lun Danny has a very basic knowledge of, but absolutely no talent or ability for, magic.
Personality: Previously driven to succeed and prove himself beyond anything else, Danny's banishment from K'un-Lun has caused him to question himself and his abilities, and he's currently rather lost and confused. He desperately wants to earn the mantle of Iron Fist the right way and is somewhat ashamed of how he came by his powers, questioning if he's worthy of them. Although he might not admit it, he wants to make real friends and feel like he belongs equally desperately, a task made all the harder by the fact that he's almost completely unfamiliar with modern life on Earth. He still enjoys a good fight, but more in the hope of testing himself against others in a friendly manner than proving he's a superior martial artist. His banishment due to tricking his way into the title of Iron Fist has caused him to snap back into a rigid sense of honor and playing by the rules as well.
Affiliations: Teen Titans, potentially Rand Inc.
Notes: I'm mainly testing the waters with this one. If preferred I can easily do a more acceptably aged and increased in experience and badass-ness Iron Fist