The event is split into two methods of participation:
- Type 1 - Here, you can write the name, background, and dialogue for the townspeople
- Type 2 - this one is a bit simpler; all you have to do is write a line of dialogue based on one of three topics.
Capcom is also providing some material to help you in constructing a character. You can play catch up with the Legends series lore via this handy-dandy write up, or see some tips on going about this event from level design planner, Hajime Horiuchi here. What's really neat about the write-up in particular, it reveals the first of presumably many locations in Legends 3 -- Klickelan Island. Even if you're not going to participate, do check that out!
All the details available at Capcom Unity