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Ansatsuken School, Suzaku Castle.

The Earl of Strolheim, Wolfgang Krauser, is in Japan looking for Ryu, and his search has brought him to the ancient castle where Ryu makes his residence.

He finds Ryu, kneeling at the gravesite of Masters Gouken and Gotetsu. "Enter my home in peace, Earl of Strolheim," Ryu says without turning around.

"You knew I was coming," Krauser replied.

"I got friends in Tokyo. Do you come in peace...or with your fists?"

"A little bit of both," Krauser replied. "I heard about the legendary Japanese fighter from some people in Southtown and I wanted to see the legend for myself."

"I am no legend," Ryu shot back. "I am just a Japanese guy looking for a fight."

"And you found one," Krauser says. "I, Wolfgang Krauser von Strolhein, challenge you, heir to the Ansatsuken school, to a match."

The thrill of fighitng a strong opponent races through the Ansatsuken warrior. "I accept your challenge."

Stage: Ryu's 3rd Strike Stage.

Ryu: Third Strike version

Krauser: Whichever's strongest. I tend to forget.

Ryu can take him. All he needs is preserverance against the overwhelming power of Krauser. Krauser has too much power but he lacks speed. Ryu on the other hand has good power and speed.
In RB2 Krauser beceame a monster being able to turn into a tornado and what not but still I see Ryu coming out on top.

A good fight, but I see the two going for Kaizer wave VS denjin hadouken. huge sparks fly and when the smoke and sparks clear, Ryu picks up his bag and walks away leaving behind an unconscious Krauser.

"You must first beat Fatal Fury2 in the arcades to stand a chance!"

~The Invincible Sado-sama

It's a tough fight. Krauser is one of the toughest bosses in KOF. Even tougher than Geese.

Honestly, it could go either way. Ryu's got the better projectiles, the tatsumaki, and the shoryuken. Krauser has the inside game, reach and his deadly rave combo: Unlimited Desire.

It's not likely to come down to the Denjin Hadoken vs. the Kaiser Wave, but I'd give the edge to the hadoken in that one. Problem is, gameplay physics wise, the Deadly Rave and all other versions have fireball invulnerability. Now, I don't know if that applies in-story, but make no mistake, Ryu is in for a hell of a fight.

Straight split: 50/50 either way.

Ryu wins

Ryu takes it, by the time of 3rd Strike Ryu is as strong as, if not stronger then Gouki was in SFA2.

I think he's as strong as gouki was in Alpha.

Krauser is overrated. Ryu beats him.

Ditto