Looking forward to this. What are we going for monster-wise? The inuyasha pics are based off myths, but take a lot of liberties, so it would be pretty obvious where we got the monsters from if we use those. Are we going for traditional? or are we going to take some artistic liberties? (a good example of this could be like the SMT and Persona artists take very famous mythologies from all religions and folklore but they never look exactly like how they were portrayed originally).
Also, if we want to actually terrify people... Tsuchigumo... giant spider monsters... (we could probably just put a single Tsuchigumo model in an empty room and still scare the crap out of pretty much everyone...).
Anyway. Still don't know if we're going cute or scary (or both?... that would work too... like nightmare versions of cute things... like the bunny mascot from Silent Hill three... I still remember that thing...)