The Rotational Release Cycle for Beta 1.2 kicked off upon its initial release in Februrary, with each two months starting in March and ending in November seeing an incremental update to the demo. These updates would mainly include new Final Smashes and proper costumes for characters that lacked them, along with bug fixes and balance changes, but several other surprises were included as well. Players who signed up for McLeodGaming Insiders would also gain access to each new update a day before its public release.
Beta 1.2.1 released on March 20 and included Final Smashes for Ryu and Sora and costumes for Samus, PAC-MAN, and Jigglypuff, with Ichigo receiving updated costumes in which the lower half of his kimono is paletted separately. This update also included Polygon Zone as a new stage, Stamina as a new rule, and the News Feed as a new menu option.
Beta 1.2.2 released on May 25 and included Simon's Final Smash and costumes for Pikachu and Bandana Dee. It also included Thousand Sunny as a new stage, the Medusa Head and Item Bag as new items, and new trail effects for various characters. However, the most notable addition was All-Star as a new solo game mode, being based on the mode of the same name from the official Super Smash Bros. titles.
Beta 1.2.3 released on July 24 and included Waluigi's Final Smash and costumes for Black Mage and Ness. Additionally, Bullet Bill was added as an Assist Trophy and Wobbuffet was added as a Pokémon, and players were now able to quit the Waiting Room in online play. Urban Champion was also included as a new unlockable stage, though it was hidden from the changelog.
Beta 1.2.4 released on September 25 and included an updated Final Smash for Goku and updated costumes for Krystal, as well as costumes and an updated design for Captain Falcon. Additionally, Magnet Bomber was added as an Assist Trophy, Central Highway was given a new background, Rayquaza was added to Sky Pillar as a hazard, a second level was added to Crystal Smash, and Classic and All-Star were updated with bonus points.
Beta 1.2.5 released on November 24 and was a smaller update consisting mainly of bug fixes and balancing changes, such as a rework for PAC-MAN's Bonus Fruit, universally adjusted ground-to-air momentum, and leniency in grabbing opponents slightly behind. It also included updated costumes for Chibi-Robo and item pick-up animations.