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Limiting them to Gen 1 had nothing to do with genwunner nostalgia. It had to do with fixing the horrendous balance and type distribution problems in the original 151 mons, with a future return to Kanto limited to the first generation in mind. Alolan Forms:
>nerf Psychic by adding 3 Dark-types, up from 0
>improve distribution of generally underutilized types (Ice, Fairy, Steel, Ghost, Dragon)
>Steel, Ghost, and Dragon in particular now have more than one evolution line
>add more variety to Rock-type combinations
>add the only Ghost-type that is not weak to Psychic
>give Ice more of its own identity apart from Water
You could do all these things by simply including more Pokemon in your game, but that wouldn't suit a reboot of Gen 1. Make no mistake, Alolans were designed not for SM, but for LGPE. However, I do wish more trainers in-game had them.
