Free Character Selection
Enter the 1-Player Tournament or 2-Player Battle modes and choose a New Game. Then set up the game and begin it by pressing A. In the white screen transition hold Up + A + Start and wait for the intro. If you do this correctly you will be able to select any character from the list.
More tricks, tips and cheats for this game are right here - Dragon Ball Z: Goku Gekitouden cheats
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