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Guilty Gear Xrd -SIGN- [Trailer]



Guilty Gear co-creator Daisuke Ishiwatari is behind this, it runs on the Unreal engine, it uses 3D animation in the fights (that somehow looks like 2D sprite animation), and it's an actual sequel!
Not sure where Guilty Gear 2: Overture fits into this plot though.

(Source: Japanator)