M.U.G.E.N/WMG

A Time Crash is responsible for everything.
It started with Swave Dude being missing as the final boss for Kung Fu Man to fight. It Got Worse.

Beppu makes his characters crappy for the lulz.

 * This is enforced by the fact that his KOF XI Kyo has the wrong voice.

Nintendo killed MUGEN.
If it had been able to survive, MUGEN would have superceeded Smash Bros in popularity.

Muteki's broken Guilty Gear characters are actually a brutal Training from Hell designed to condition us into fighting game monsters

 * They have unbelievably difficult AI at default level and broken stats, but perhaps its actually a trick to turn us into clever and dangerous players in the fighting circuit. If we can beat their AI, we can beat anyone

The game takes place in Mistec
Mistec disorts space-time and warps dimensions. The characters are all either abducted or trying to infiltrate it, as Vaus is not present yet. Suave Dude is in fact Doh, and it has no physical existence beyond fake memories in Kung Fu Man's mind due to its nature anyway and it not having recovered yet from its last defeat.

The_None is actually an Illuminati agent preparing us for mind screwing invaders from SPACE!
Play against his Giygas, then get back to me. Also, his Uppercut character has almost no sprites that have the same source as another, he edited Omega Tiger Woods to be even more screwy, his Segalow has voices from all sorts of stuff, and also the image that spawns when he achieves a counter is screwy. I can't possibly list them all, so please help my cause!
 * Mostly Jossed by most of his recent releases being Faqir and Slamdunk from Shadow Fighter which other than some silly winquotes, one of which being an Islamic take on a certain Skyrim meme are largely normal as well as Kaf Ka from Battle Monsters which, other than sometimes lobbing a Death Star at you, doesn't have much else that can be considered crazy in or outside of Battle Monsters. Hell, even his Segalow is pretty normal, aside from killing Ragna in one of his intros, having Seth's voice (Hardly "all sorts of stuff" as you would say) and his small portrait being Lazlow. Pigeonholing ain't good y'all.