Ninja Gaiden Dragon Sword is an upcoming video game set to be released for the Nintendo DS featuring the Dragon Ninja, Ryu Hayabusa as the main protagonist. The game will be the first portable video game title in the series to be developed by Team Ninja. The game will be an Action-Adventure title presented in a 3rd person, pseudo-3d manner, meaning that all the game-models will be rendered in full 3D but the world the player travels around in will be pre-rendered. The camera will be set in an isometric viewpoint and it will pan, following the player while he/she is discovering more of the pre-rendered backgrounds. The ideal orientation of the Nintendo DS while playing the game will be holding it sideways, like in Hotel Dusk: Room 215 and Brain Age. The left screen will show the area map while the right screen will show the main gameplay.

The game's gameplay will be heavily dependent on the stylus: By tapping the screen Ryu will throw one of his shurikens; by tapping and holding Ryu will run to the desired location; by drawing a horizontal line on an enemy Ryu will do a horizontal slash with his sword; by drawing a vertical line he will do a vertical slash; and by drawing up on the screen he will jump.

Use of Ryu's Ninpo magic will be activated by tapping an icon on the touch screen; this will bring up the outline of a Sanskrit letter to be traced with the stylus. Successfully tracing the letter will activate the appropriate magic.

There are also some secret attacks, one being a move where you slide the stylus back and forth on Ryu, which results in an essence forming under him, which grows more powerful the longer you hold the stylus on the screen (it is no longer necessary to slide the stylus after the essence forms) and becomes red when competely charged. If the stylus is lifted from the screen Ryu will jump out to where the stylus was lifted from, many Oval-Shaped blades of the essence following. A minimum charge takes around 1 second from the Essence's forming, and a complete charge takes around 4 seconds.

These functions can be combined. Ryu will, for example, be able to jump and throw his shurikens while in mid-air. All the buttons on the Nintendo DS except for Start and Select will be used for blocking enemy attacks.