This version of Dragon Knight III is based on the earlier computer release, known in the West as Knights of Xentar. While retaining the story, the graphical style, and the basic location layout of the computer version, this release has substantial gameplay differences.

Unlike in the computer version, the battles are not real-time, but turn-based, and utilize a different perspective; randomly encountered enemies are fought in a first-person, Dragon Quest-like traditional Japanese RPG style. Enemy design is also quite different; many of the monsters from the original version have been replaced with female characters. The graphics in the top-down areas have been slightly enhanced.

This version also censors the adult content. The scenes are still suggestive, but there is no explicit nudity in them any more. Some of the cutscenes have been completely re-drawn, eliminating even implicit sexual activity.