Image credit: Pocketpair x Re-Logic

Palworld surprises with a big Terraria crossover – and it’s actually a great fit. New bosses, biomes, and game systems shake up early access in the Tides of Terraria update.

Palworld just rolled out a massive update called Tides of Terraria, and it’s not just big, it’s smart. Launched June 25, 2025, on PC, PS5, and Xbox Series X|S, it brings a full-blown official crossover with Terraria and it fits surprisingly well. We’re talking raid bosses like the Moon Lord, new islands, and even fishing finally landing in the game.

Expansion: What’s in the Update

Let’s break it down. The crossover brings a Terraria-themed dungeon filled with classic enemies. That’s your spot for farming materials to craft six new weapons (yes, Meowmere and Terra Blade are in), plus seven new armor sets, including Hallowed and Moon Lord gear. You can even train Terraria monsters like slimes or the Eye of C’thulhu as Pals. The biggest threat? The Moon Lord himself, now a raid boss requiring solid teamwork to take down.

Palworld × Terraria - Official Tides of Terraria Major Update Gameplay Trailer

But the update isn’t just about crossover content. It adds systems that expand the core game. The new Pal Trust system boosts your Pals’ stats and unlocks fresh abilities based on your bond. You can even sleep next to your Pals to deepen that bond. And yes, fishing is finally here. Cast your rod into ponds or oceans, reel in fish, Pals, or materials. Prefer base-building? Set up a Fishing Pond at home.

Palworld Terraria Crossover

There are three new island types to explore: Tropical, Iceberg, and Shipwreck, each with its own vibe and surprises. Treasure Maps now lead you to hidden loot scattered across the world. One cool twist? Enemy factions can now set up proper bases, and they’ll fight hard to protect them. But if you manage to break in, you’ll score unique building blueprints you won’t find anywhere else.

Palworld x Terraria – Eye of C’thulhu Fight

On the quality-of-life side, you’ve got the Palbox Control Device, which lets you access your Palbox from anywhere in your base. The new Pal Surgery Table lets you swap out Passive Skills or change a Pal’s gender. And if you’re into breeding, the Large Incubator now lets you hatch multiple eggs at once. Way less waiting around.

The update follows Palworld’s meteoric rise to 32 million players, and while no fresh stats have dropped post-update, this kind of content is clearly built to maintain that momentum. And it all began with a simple DM: Pocketpair’s John “Bucky” Buckley messaged Terraria creator Andrew “Redigit” Spinks, saying he was a fan and wanted to collaborate. It worked. Sometimes, all it takes is asking.

https://bsky.app/profile/buckycm.bsky.social/post/3lshqiyvjck2l

Context: Why This Collab Feels So Good

Palworld’s had a wild ride. It exploded out of early access, hit tens of millions of players, and even faced legal drama over Pokémon lookalikes. But this crossover with Terraria feels genuine, not corporate. It wasn’t cooked up by PR teams but it started with two devs geeking out together. That organic origin is part of why it just clicks.

The community loves it. Fans are calling this a milestone update, and the sheer amount of fresh content is being praised across the board. But the collab isn’t one-way: Terraria’s next big patch, version 1.4.5, will include Palworld content too. The Digtoise Pal is already confirmed, and more surprises are on the way. The Terraria team is taking their time, promising no crunch — and that’s something we can all appreciate.

This kind of back-and-forth, respectful indie collaboration stands in contrast to the tired, shallow crossovers we often see in AAA games. Here, it’s not about selling battle passes. It’s about two studios actually having fun, and letting players reap the benefits.