No-one is quite sure when or why Daimonji was created. It is possible that Kūkai inspired a later, permanent fixture, by ending a plague 808 with bonfires arranged in the shape '大'. He built these on the charred ruins of Jōdō-ji, where Amida had been seen rising from the flames.
It's unclear what the character '大' represents.
Many have suggested it signifies the Shingon doctrine of 'Sokushin Jōbutsu' (即身成仏). Alternatively it might symbolize the 5 elements, or a human figure.