A capsule toy is a small toy that comes in a plastic capsule. It is usually obtained by putting some money into a vending machine and turning a knob to get a random toy surprise. Full definition
This top - down racer features a novel upgrade system — all add - ons are randomly acquired from capsule toys. (gamesasylum.com)
Here's pictures of Splatoon 2 toys available from capsule toy machines in Japan, that play various sounds when you press them: (perfectly-nintendo.com)
So we set off on our adventure as the generic protagonist — we'll fit the shoes of a young girl or boy, and we stumble upon a strange capsule toy dispenser in the woods. (wccftech.com)