Me and my friends played this game to death after it came out. Tons of fun, as long as you ban certain competely cheap weapons.
Characters I like:
Talim: My most used character, she's really fun to use because she's really hard to deal with if you allow her within range. Also happens to be undisputed master of the two-hit ringout. And be sure to ban the Double Crescent Blades. Those things are so cheap it's not funny.
Kilik/Seung Mina: I like both these characters because of the nice combo moves they can pull with surprising ease. Also very funny to use them against someone who can't sidestep.
Necrid: I use him on occasion, just becuase the random moves he busts out really annoy my friends, but unfortunately he's just sorta frail.