All your NG are belong to this game
w00t, this fucking rocks!!! My fav is alloy, I hope the next game of him doesn't take long
I know that you can't add more characters and stuff because the game already is 8mb, but I was thinking that you could improve it and release it in the X-Box Live Arcade like Alien Hominid and others.
That would solve lagging issues, the space problem, and can get you some cash.
You could then add more challenges (for example, having Dad N' Me fighting as a team or each other in a father-son argument lol, the UFA- their projectile weapon can be anal probes, man I'm full of ideas!!),
more levels (the madness's clown's disco, the desert of Golgotha from Carious Welting, oh the possibilities...),
multi player mode, up to 4 or 6 fighters, thanks to the X-Box and the internets lol
I dunno, I hope that if you like this idea that you give it a try, and if I can throw some more ideas (you can be damn sure I'm so full of them that they spill from my nose and ears) the better for me :P