Thank you for all your feedback.
I am glad to see that there are people discussing the pros/cons of this idea.
I have read all of your comments and I will try my best to answer all of your questions and provide explanations for your areas of doubt.
In my first post I will address your questions and in the second post I will reply to some of your statements regarding the .cfg file and PC specs etc.
I know almost NOTHING about C++ coding and the SDL library
Then how did you "patch" the exe?
I was waiting for someone to ask!
I was still using Winmugen plus when I started trying to do this. Winmugen plus uses the Allegro Library (mugen1.0 which i didn't use at the time uses SDL).
I asked the IT company I deal with at work about 32bit app RAM usage limits on 64bit OS's and what I was trying to do with MUGEN and they told me that it had nothing to do with Allegro or C/C++, and they told me about a method for increasing the available RAM for 32bit apps when run on a 64bit OS known as 4GT which is explained here more or less in a more detailed manner than how they explained it to me:
http://www.blackid.asia/2010/04/27/x86-or-32bit-os-with-4gb-ramI sounded difficult so I put in a job request with them and they wrote me a small program in one hour, which was basically a patch run via a command window that patches the "winmugen.exe" file once placed in the same directory, and it would remove the 2GB cap and allow mugen to use up to 4GB RAM (approx 3.5-3.7GB).
In theory, they said that the patch could potentially remove the 2GB limit from any 32bit .exe, but their charge out rate is 120/hr so I got the dirt cheap molebox version that must be placed in the same directory as winmugenplus.exe, and will ONLY patch winmugenplus.exe. If I wanted a GUI built for it and the ability to browse for other applications to patch, it would have been expensive.
My patched version of winmugen plus has been available on the phantomGs forum since around xmas 2009 and had some positive feedback.
I was pissed off for spending $120 when I discovered later on in 2010 that somebody else had already created an almost identical FREE program which includes the GUI for selecting any 32bit application and removing the 2GB ram limit. Here is the link to this program and the creators homepage if anyone wants to try on their own mugen and see for themselves:
http://www.ntcore.com/4gb_patch.phpI have tested this on various programs other than MUGEN on XP, vista, Windows 7, and had no problems.
If anyone is unsure how to work the patch above or would like a direct link to the already patched 4GB winmugenplus/mugen 1.0.exe, please reply in this thread and I will check as soon as I am able to.
Because this program included a GUI and the ability to select any 32bit .exe, I used it on the official Mugen1.0 release and converted my Mugen SP/full game system etc over to Mugen 1.0 earlier this year and deleted the old shitty program that I paid for.
Within that wall of text, Darochinati mentions the massive use of particles and animations. Couldn't some ranged-based characters (ex.: Touhou characters) benefit from this?
Quality over quantity, dude. Massive effects and such is usually simply something bloated and not practical.
@Codeslasher: My screenshots in my previous post showing mugen using 3GB represent the new limits I was able to reach in terms of multiple over sized simultaneous animations/sprites, cache/explod/projectile/helper settings etc. If it is flashyness, extreme graphical content and multiple stage/character hi res animations you seek, then this will definitely benefit you.
With this patch I can easily have 2vs2 overkill 42MB broken GOD Touhou characters (for test purpose only as i don't really like god characters) battling out at 60fps on a 200+MB stage no problem (not to mention the simultaneous oversized animations running on my 1GB system.sff/fight.sff/fightfx.sff).
I am from a graphic design/art background so that is naturally my preference, however not everyone is interested in the graphical side of mugen as much as the fundamentals/mechanics and we should respect this.
@Byakko: I agree 100% that quantity over quality is a huge mistake in gaming, however I do believe their would be benefits to a 64bit build.
The "patch" explained is not a patch, it's configuring mugen.cfg. This is completely unrelated to... Erhm, to anything.
You didn't tell Mugen to use 4GB rather than 2GB, you just told it that the limit of your computer was higher than it really was.
@Byakko: hopefully the download links and explanation above regarding the 4GB patch provide a detailed explanation now that this is indeed a patch and unrelated to the mugen.cfg.
If you have a PC with atleast 4GB available RAM, welcome you to try the patch for yourself and then experiment with the mugen.cfg settings after adding the patch to your likings. I guarantee you will find a difference in loading time to say the least. Here is a comment from phantomGs forum regarding this:
Well i tried and well i did its job i guess i mean i don't notice anything that changed MASSIVELY, but the loading time did decrease by a lot usually have to wait 5-8 sec pops up just about instantly and also there was no point and creating a backup lol cuz it was just a drag N drop w/o overwriting,but again it did make my mugen load up faster, Good Job and keep it up 
Then I told him to try the coding for mugen.cfg i posted in my previous post and he replied:
holy shit,The PreCache fuckin awesome, didn't notice that, and my Moojinz just got better, thanks daruminati, using Vista >.<
What you did is just telling Mugen your computer could handle 3000 explods, and then let it try to do that, and fail, and crash - because your computer actually can't handle that. You're supposed to try lower numbers until it doesn't crash because it won't try to display more explods than it actually can. If you saw any difference, it's only because the initial limits were lower than your comp's actual limits ; when you upped the number, it was allowed to reach your real limits (so it worked better than with limits too low), but then since your new numbers were to high, it went past your real limits, and it crashed.
As for the crash with 400MB stage and 300MB screenpack, this is just unrelated to what you changed. It's just that you don't actually have enough free memory, hence the "out of memory" error.
And all of the above is just completely unrelated to 64bit or anything.
I apologize for not posting my PC specs earlier. This should hopefully prove my system is capable of handling the explod settings etc mentioned previously if only Mugen wasn't limited to 4GB virtual memory. Apologies for the oversized screenshots. I can remove them if this is against forum rules please let me know.
PC Specs


SF4 AE on MAX settings



[/spoiler]
Crysis2 with ultra settings, all up to date hi res texture plugins and DX11 Patch


Running TVC via Dolphin on 1080p Full HD max settings at 60fps with additional rendering plugins:


I am fully aware that there is a pending Mugen 1.1 release that uses GPU. I look forward to its release, but because we do not know when that will be released, I would like to pursue a 64bit modification of the existing mugen 1.0 if elecbyte believes it is possible and are willing to offer it to us. I would like to hear from elecbyte regarding this topic and would highly appreciate their opinion on this.