In 1926, Estonia saw the establishment of the League of Freedom Fighters, an organization comprised of veterans from the Estonian War of Independence. Known as the Vabsu movement, it drew parallels with Italian Fascism due to its anti-liberal democratic, anti-Marxist, and anti-capitalist ideological stance. The appeal of the Vabsu movement was especially strong among the impoverished segments of the Estonian populace amidst the global economic crises, allowing it to gain significant influence toward the end of the 1920s.

Initially, the Vabsu movement attracted only those who had participated in the War of Independence, but by 1929, it expanded its membership to include individuals who had not fought, morphing into a broader political organization with paramilitary aspects. This shift marked a significant transformation for the movement, which began to assert itself politically in a time fraught with economic hardships. Its growing radical nationalism and militaristic tendencies drew comparisons to the more fringe Pērkoņkrusts organization in Latvia, despite Vabsu's much larger influence during the period.

The emergence of such movements in the Baltics during this time reflected the tumultuous political climate and the increasing desire among some factions for a strong nationalist identity juxtaposed against the backdrops of economic despair and instability. The Vabsu movement's trajectory would have lasting implications for Estonia's political landscape and its interactions with neighboring countries, particularly in the face of growing tensions across Europe.