First of all,if you want to unlock Master Hand as a fighter,its not possible.
Anyway,you need to go to Classic,and the final boss is Master Hand.Also, he isn't hard.Oh,under a certain Difficulty,and a few other things,YOU get to fight a secret boss once Master Hand is down to certain heath.Who exactly?...Find out yourself!
Good luck to you!
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no. u cant unlock him but you can play as him. all you have to do is have 2 controllers and go to any type of 2 player fighting battle. as you are picking your characters, let p2 pick his regularly. (you must be in the player 3 slot to actually be able to fight with him). you, as player 3, must go up to any character just to make the board on the bottom slide out. then, go to name entry with out picking a character, but do not press it. have player 2 and player3 do this at the same time: p3 presses name entry while p2 presses the back button on the top right of the screen. if done correctly(this may take a few trys, trust me) you will be on the stage select. choose a stage with the player 3 controller. then, use the control pad and l,r,a,b,y,or x. press any two buttons with the conrol pad. (example: L and right on the control pad) and there you go!