CANVAS Engine
The CANVAS engine is a propritary engine owned by SEGA used in the Valkyria Chronicles series. From the Valkyria Chronicles wikia: "The game's visuals, which utilize SEGA's CANVAS graphics engine, resemble a watercolor painting in motion." It's use is described on the Valkyria Chronicles Remastered website as: "Hand-drawn watercolor imagery creates a warm graphical motif, while blurred outlines, soft edges, hatching, and visual use of onomatopoeias create an enthralling and vibrant game world. The melded style of 3D graphics and still images allows the player to move freely around a world that appears to have come directly from an artist's sketchbook."
Engine data sourced from IGDB.