The lowdown:
It would seem the nights in Bikini Bottom are as strange as the days as you get to experience the nocturnal fantasies of the heroes and villains from the show. This is basically an excuse for a series of mini-games that range from on-the-rails shoot 'em-ups to flying games and beat 'em-ups. Each controls in a different way, with Patrick's fantasy of the rocket propelled Starfishman and SpongeBob's escape from a giant sized Plankton. SpongeBob also, finally, gets to indulge his fantasy of driving a car in a stylised hot rod race, complete with psychedelic '60s graphics. In fact all of the levels have their own unique style from the '50s pop art of Patrick's Sci-Fi levels to the purposefully fake looking buildings for Plankton to stomp. It's indicative of a surprising amount of effort for what initially seems a simple licensed cash-in.

Most exciting moment:
As well as trying to escape from a Godzilla sized Plankton in one of SpongeBob's levels you also get to play as the cyclopean scoundrel in one of the game's best levels. Here the only objective is to smash everything in your past and finally allow Plankton to win - in his dreams at least.

Since you ask:
The only confirmed playable characters so far are SpongeBob himself, Patrick the starfish and the evil megalomaniac Plankton. Lots more are expected to be unlocked in the final game though.