The town of Wutai is where Yuffie is from. It is located on the westernmost continent and cannot be reached until you have the Tiny Bronco or the Highwind.
Going to Wutai is entirely optional. Wutai is involved in two side quests that you can complete - one which involves Yuffie stealing all of your team’s Materia and one which involves obtaining Yuffie’s Ultimate Weapon and Level 4 Limit Break. Check out the two side quests by clicking on the links below:
Traveling to Wutai
A side quest which you may have already completed wherein Yuffie steals all of your Materia. This will be one of the last times in the game that you can complete this side quest.
The Wutai Pagoda
Also in Yuffie’s hometown of Wutai, this quest involves traveling to the Godo’s Pagoda at the back of town to obtain Yuffie’s final Limit Break, All Creation, and the Leviathan Summon Materia.
You can also reach the Da-Chao Fire Cavern from Wutai. Just travel to the mountains at the back of the village and then up the Da-Chao Statue.
The shops at Wutai sell the following items:
The map below shows the location of the Wutai on the World Map:
Potion
Choco Feather
Murasame
Diamond Knuckle
Chainsaw
Aurora Rod
Gold Barrette
Slash Lance
Blue M-phone
Razor Ring
Shortbarrel