Godfall features a crafting system. By collecting materials throughout the game you can upgrade your weapons. You can do this between mission at your home base, Seventh Sanctum, as you prepare for your next quest.
In the PS5 Gameplay Reveal Trailer, you can see various items drop from enemies. This loot can be new weapons, gear, or crafting materials. It’s currently unknown how this exactly works and how you can enhance your gear.