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TC: I know you were joking, but I think this is kind of ironic, since Shinji Mikami actually made a comment about a possible Godhand sequel in this interview (skip to 4:33 if you don't want to watch the whole thing).
Basically he says: There won't be an official sequel, since Capcom's not interested, but there may be a sequel-in-spirit, of sorts. My guess is that he'd use an upgraded version of the combat system, the same sense of humor, etc, just new characters and setting.