After the conquest of Istanbul, Venice had entered a period of economical decline. They left the Crusade Union after Mehmet the Conqueror gave them capitulation. They began to agitate the people of island of Morea as they always followed an anti-Ottoman policy. Sultan Beyazid II had decided to solve this problem by a war.

In 1499, Inebahtı, Moron, Koron and Navarino were captured. Afterwards, the Ottomans began to invade the Aegean Islands. The Venetians realised that it is impossible to defeat the Ottoman army and navy and they requested an agreement. The agreement was signed and lands captured by the Ottomans were given back to the Venetians.