The Nightmare Princess introduces the new character Valgyrie, who is able to set traps as well as directly attack enemies by kicking. The player can deal damage to an enemy by stomping on them after they have fallen to the ground, or kick them into traps.
The main feature of the game is called the Quest Mode, which features 100 new quests to complete. In it, the player plays as Valgyrie, and is able to obtain new traps and abilities.
The game will also include an option titled Deception Studio, which allows players to create their own characters, enemies, and missions. Parts for Deception Studio can be acquired by playing Quest Mode.