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So according to Madara, whenever a Sharingan eye uses the Isanagi, it casts an ultimate genjutsu on itself and whenever the caster is hurt / dies, it manipulates the genjutsu. The genjutsu is so powerful that it blurs the line between reality and fantasy and thus the weilder is healed / ressurected. But whenever the weilder is ressurected, the Sharingan eye dies.

Danzo wanted to increase the duration of his Isanagi and wanted to be able to possess more than one Sharingan eye so asked Orochimaru to implant the cells of the 1st hokage in his right arm to get the wood style and then implanted 10 sharingan eyes in his now powerful right arm. So he had "10 lives"

Am I right till now?

Then my question is, what was Karen, during the fight, was talking about one eye closing every 60 seconds? I thought an eye closed after the isanagi ressurected the weilder..then whst was thing about an eye closing every 60 seconds?

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    It doesn't, He died several times, but an eye did not close every time he died. – Ryan Feb 10 '17 at 16:49
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As per the Wiki Entry on Izanagi

This technique would normally be used for only the most dire of situations and for but a brief moment as after the Sharingan with which Izanagi was casted exceeds its limit, the said eye becomes powerless and is rendered blind permanently

And the most useful entry, specifically about Danzo

Danzō Shimura, in an effort to make practical use of the technique, had ten Sharingan embedded into his right arm. To use Izanagi to its full potential, users must also have the genetic traits of the Senju, who are also descended from the Sage. Partially for this reason Danzō had some of Hashirama Senju's DNA transplanted into his arm, which extended the time span of each Sharingan's Izanagi to a minute, allowing him to use the technique for up to ten minutes in total, with breaks in between to conserve time. However, because Danzō is not an Uchiha, his chakra levels drop substantially every time he activates this technique.

So, the eye goes blind when it goes past its limits, not when it rewrites death. In fact, It can rewrite almost anything that happens in its influence while its active, not just death. Doing so does so little strain to the eye, its considered negligible compared to actually maintaining Izanagi.

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  • oh! So thats what happened!! Thanks for the answer!! – MartianCactus Feb 10 '17 at 18:17

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