Chao is a new collectible in Sonic x Shadow Generations that offers a new take on levels you completed in the original game.
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Each level has six Chao to find, split between Act 1 and Act 2, and unlocking them will unlock special bonuses in your collector's menu on the main stage select screen. Green Hill Zone is the first stage you'll find yourself in, and while some of the Chao are easy to find to help you acknowledge their existence, there are also a few that are easy to miss if you move too quickly.
The first Chao in the Green Hill zone is easy to find; it's hidden under a rock at the start of the stage once you turn right. As long as you break the rock, you can't miss it.
Both Chao 2 and Chao 3 are close to each other. When you get to the part of the level where you go down a spinning platform, you go to a spring that shoots you into the air.