HS - Episode 14

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World magic shouldn't be something that an in-game character is able to do. It's just a theory made up by the mage to explain the actions of game-changing phenomenon that happened externally.

The memory degrading thing darkens things up a bit, but like Shiroe said, no one's made a big deal of it so far so it may not amount to anything in the end. More importantly though, it supports the idea that the players are in fact some sort of in-game psyche now (eg their personalities have been copied into the game as digital data).