A sequel to Chinese Soulslike RPG Wuchang: Fallen Feathers is officially in the works, with 505 Games returning to publish and original director Xia Siyuan leading development at a newly formed studio called Indolphinity.
The news was announced in a joint press release from 505 Games and Indolphinity, officially dubbed Chengdu Recursive Dolphin Technology Co. The announcement confirms that Digital Bros, 505 Games' parent company, acquired the Wuchang IP rights in April 2026, following reports that the original development team at Leenzee Games had been dissolved.
"Under the agreement, Indolphinity will lead the creative development of the sequel, while 505 Games will fund and publish the game globally," the press release states. A new Digital Bros subsidiary will also be established in Chengdu to support development and publishing activities.
505 Games confirmed on Twitter that the Wuchang sequel has officially entered its preparation phase, indicating it won't be released for several years. Given that Indolphinity is still in the early stages of forming as a studio, even a 2029 release date would be aggressive.
The original Wuchang: Fallen Feathers launched to mixed reception on Steam, but attracted more than 131,000 concurrent players at peak and reached 5 million players worldwide across PC and console. The game was praised for its visual direction and combat but faced criticism for encounter design and balance issues.
Wuchang's path to a sequel has been turbulent. The game's original director, Xia Siyuan, was reportedly fired from Leenzee Games earlier this year following backlash from Chinese fans over the game's portrayal of historically significant figures. A controversial patch that retconned character depictions and dramatically lowered the game's Steam review score contributed to the turmoil.
Following Siyuan's departure, the Leenzee Games Wuchang team was reportedly dissolved after refusing to pivot to support work. Digital Bros subsequently moved to acquire the IP, setting the stage for Indolphinity's formation.
In a statement, Digital Bros co-founder Raffi Galante emphasized the company's commitment to the franchise: "From the outset, our priority has been to safeguard and amplify the original creative vision, while equipping the development team with the resources and publishing expertise needed to succeed worldwide."
Siyuan expressed his enthusiasm for returning to the franchise: "We listen closely to the real voices of players and the community, and we remain firmly devoted to our original creative aspirations and cultural foundations. Wuchang's story is far from over."
The Wuchang sequel represents one of several high-profile Soulslike projects currently in development across the industry. With 505 Games funding and a new studio built around the original creative lead, the franchise now has a clearer path forward than it did after the chaos of its post-launch period.
