One of the immediate complaints about earlier versions was the mismatched sprite work—characters from 90s anime looked pixelated against 2010s HD sprites.
New Features:
Anime Fighting Jam is a MUGEN build (a customizable 2D fighting game engine) featuring many anime characters.
"Wing 1.2" could be a specific character file (e.g., Wing from Hunter x Hunter) or a patch version for a character named Wing.
Version number 1.2 often refers to an update for a fan-made character in MUGEN forums.