Loops were planned on being implemented in Chaotix, even being present in prototypes... yeah, I can see why they were removed (footage provided by @mdtravis.bsky.social)
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There's a ROM hack of Chaotix called Knuckles' Clackers by GenesisDoes that reimplements loops, and even uses the masking sprite... but it still illustrates the problematic nature of loops with the tethering mechanic.
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