Torico

Lunacy is set in two major locations: Misty Town and the City of Moons. Correspondingly, the game is divided into two discs. Once the player finishes disc 1, disc 2 can be accessed and continues from there.

Although the game maintains the illusion of free three-dimensional movement, in reality each action loads a pre-scripted FMV sequence. Gameplay is essentially restricted to moving left and right, forward and backward or moving in to examine certain objects. The story is followed through a first-person perspective. Some events may not trigger until Fred has spoken to one of the townspeople.

A traveler called Fred finds himself imprisoned in Misty Town jail. He came to the village in search of answers to his past, a past of which he has no recollection. On his head, he bears a crescent shaped tattoo. In his cell, Fred meets the strange and seemingly all-knowing Anthony, who tells him of the legends of the City of Moons.

It is said that the road to the City lies through the Misty Town. Anthony offers him the key to his cell, but after an attempted escape, Fred quickly finds himself back in the hands of Lord Gordon, the ruthless town ruler.

System Sacom previously developed the Sega CD game Mansion of Hidden Souls (1993) and later Saturn game, The Mansion of Hidden Souls (1994) which was also a first person adventure title.

Though Atlus USA published Lunacy in North America, the game was translated and localized by Sega. Sega offered the game's North American publication rights to third party companies so that they could devote more of their marketing efforts to more high-profile games.

Though Lunacy met with a range of critical opinions, reviews almost universally agreed that the game combines compelling story elements and graphics with the limited gameplay typical of the interactive movie genre. Critics particularly remarked that the graphics are exceptionally detailed and effectively bring to life the surreal settings, though some criticized that the characters' walking animations look fake. Most critics disapproved of the gameplay, particularly that the puzzles are shallow and insultingly easy, an insult deepened by the hints given out by the characters. Next Generation reviewed the Sega Saturn version of the game from Japan, rating it four stars out of five, and stated that "The mere fact that the game simply keeps moving at its own irresistible pace is enough to keep players pressing on in their quest to uncover its secrets. Torico is a must for all graphic adventure fans."

The game's bizarre and often cryptic dialogue was the subject of considerable commentary and varying reactions. Glenn Rubenstein in GameSpot described the dialogue as "David Lynch meets David Mamet" Some found it intriguing, while others characterized it as confusing or stilted in a manner suggestive of English being spoken as a second language. The English dub was praised for the quality of the acting but criticized for the poor lip syncing, typically both by the same critic. Reviewing an import copy, Diehard GameFan's reviewers said the game was a rare example of an FMV game done right, praising the graphics, music and setting.