The latest Guilty Gear Strive update has removed references to Taiwan and Tibet in its in-game encyclopedia.
As reported by Kotaku, the update was made a week ago but only recently found its way over to ResetEra in a post by user AAK. The update was seemingly rolled out in parts, as some users reported that the glossary entries hadn't changed for them.
The changes revolve around a glossary entry titled "International Affairs after the Crusades", which discusses some world history in the Guilty Gear universe. Guilty Gear references several real-world locations despite being fiction, and some of those include Taiwan, Tibet, Korea, Singapore, Mongolia, Siberia, and Uighur, which were all mentioned within the glossary entry.
Before the update, the entry reads, "Countries that had high population density and tended to import their foods, such as Korea, Taiwan, and Singapore, could not solve their Nation's problems with the availability of energy alone."
Another section of the glossary entry makes references to more countries, "China has further expanded their borders to encompass Uighur, Tibet, Inner Mongolia, Mongolia, and Siberia - regions with lower populations but a lot of natural resources."
Following the update, that beginning section removes the specific references and says, "Countries and regions in Asia", whilst the second entry changes China to "The Federation of China" and removes reference to any of the specific countries.
The censorship has likely taken place so that Guilty Gear Strive can go up for sale in the Chinese market, and so it needs to be approved by the Chinese government. The Chinese government is incredibly strict on several things, and something like saying that Taiwan is its own individual country is likely to cause the game to not be allowed to go up for sale.
Essentially, Arc System Works has chosen to pretend these countries don't exist and censor them from the game completely in order to appeal to a specific market. Arc System Works hasn't commented on the censorship but the fan reaction has been pretty strong. Some are calling out ArcSys for censoring the game even in countries that it wouldn't affect.