This confirms Custom move sets will have only 4 special moves for Neutral Special, Up Special, Side special and down special. One is the normal special move and 3 variations of the special moves depending on your playstyle, match up or stage.
This means Custom move sets might be viable for tournaments depending on how quickly you can set the custom move sets.
After the updated info, do you want custom move sets in tournaments or not or you want custom move sets as their own tournament? I honestly think Custom move sets should be part of the average tournament and not be excluded.