Yes and yes. It's open source you can view the code and confirm it yourself.
Indeed, I can't look at the code, but I did play around with it for a bit. Obviously, there has to be some code that is triggered by the AI to display the preloaded sprite that matches the current emotion. That's rather simple, but the ramification is that the AI can interact with code.
But what other things can it do? I didn't notice anything yet that leads me to believe that it can keep track of some internal variable and adjust the storytelling based on the variable.
Like let's take the common example of a stat based RPG. On other platforms, there are various bots that are "coded" with some stat based "gameplay." But this is all just LLM based storytelling. The stats are not actually being tracked. They are included only insomuch as they appear in the context window.
Ex) Bot tells you to make your character at the start.
Name: Bro
Class: Knight
STR: 15
CON: 17
DEX: 12
INT: 11
WIS: 13
LCK: 5
Okay. Let's say you enter something like that and the bot starts doing the story. None of those are actual variables. Whenever stats come into play, the bot will just hallucinate something they think is about right. When you ask the bot to tell me the stats again, it will be random numbers. When you expect stat growth, it will be random numbers. Because they are just words and not actual variables.
Same goes for any attempts to do a "code" in their scenario description. It's not actually code but just words. That's how LLM works up to now. I'm still looking for one that can integrate real code based logic into their LLM behavior, and what this site does with the sprites are a step in the right direction. But I wonder if we can do some more complex things soon.