TOTDC 2 will use Ren'py. As much as I might like RAGS, not only it's getting more difficult to run on modern systems, it has a very narrow design scope, some bugs and a number of quirks which make it hard to develop for it.
People will be able to continue their playthrough from TOTDC 1, though, I have since added a way to export the data from RAGS to Ren'py (it's a bit crude, but it works). You'd need to play the most recent update to TOTDC 1, if you are interested in that.
RAGS wasn't going to cut it. I picked Ren'py because it's more flexible, if you are willing to put in the time. The game will use 2D art, by the way.
Ah, sorry, I wasn't clear when I talked about the update to export data. You can export the choices from TOTDC 1 to TOTDC 2, so that you can keep playing where you left off (you know, same allies, outcomes of certain quests and so on). I update the RAGS version of TOTDC 1 to fix a number of bugs and to spit out something players can copy/paste to get the data in TOTDC 2. There is some extra content, but it's extremely minor.
I also updated the HTML conversion of TOTDC 1, so now it shouldn't have any bugs anymore, and people can play TOTDC 1 with a browser, instead of having to mess around with RAGS.
