Dragonball Z Budokai 2 Cheats for the PS2

Easy Capsules:
Go into the capsule skill shop. When inside, hold R1 + R2 + L1, and exit the shop by pressing Triangle twice. This procedure should get you one free capsule. At low levels, you'll probably see your percentage go up. At higher levels, you might have to do it a few times to see a change. The capsule you get is totally random, so if you're not getting what you want, keep trying!

Android 16:
In Dragon World, defeat Android 16 as Goku.

Android 17:
In Dragon World, defeat Android 17 as Piccolo.

Android 18:
In Dragon World, defeat Android 18 as Krillen.

Android 20:
In Dragon World, defeat Android 20 as Goku.

Cell:
In Dragon World, defeat Cell as Goku.

Dabura:
In Babidi's Ship, get over 100 Kili.

Frieza:
In Dragon World, defeat Frieza as Goku.

Future Trunks:
In Dragon World, defeat Vegeta on Namek with Kid Trunks.

Ginyu:
In Dragon World, defeat Ginyu on Namek as Vegeta.

Gocule:
Get both Hercule's and Goku's Breakthrough Capsules.

Gotenks:
His capsule is accessed once you enter the Hyperbolic Time Chamber during Dragon mode.

Hercule:
In Dragon World, defeat Fat Buu as Saiyaman.

Kibitoshin:
Gather all seven Dragon Balls. Then summon Shenron and you will have acquired his capsule.

Kid Buu:
In Babidi's Ship, get over 3,600 Kili.

Majin Buu:
In Babidi's Ship, get over 1,200 Kili.

Majin Vegeta:
As Goku, beat Majin Vegeta the first time you fight him.

Nappa:
You must first unlock Vegeta and restart as him. Then in Dragon World, defeat Nappa as Vegeta.

Potara:
To get the Potara Capsule for Vegeta, you must wish for it from the Eternal Dragon Shenron at the end of Dragon World.

Raditz:
In Dragon World, defeat Raditz as Goku.

Recoome:
In Dragon World, defeat Recoome as Goku.

Saiyaman:
In Dragon World, defeat Cell as Adult Gohan the first time you see him.

Super Buu:
In Babidi's Ship, get over 2,400 Kili.

Supreme Kai:
In Dragon World, defeat Supreme Kai as Goku.

Teen Gohan:
In Dragon World, defeat Cell for the last time on Supreme Kai's planet with Adult Gohan.

Tiencha:
Get both Tien and Yamcha's Breakthrough Capsules. A capsule will be given you that explains it.

Vegeta:
In Dragon World, defeat Vegeta as Goku on Namek.

Vegetto:
In the city, when Supreme Kai tells you about the Potara earrings, go to him to get them. When Vegeta comes, give him the other earring.

Videl:
In Dragon World, defeat Super Buu (as Gohan absorbed) as Hercule.

Yamcha:
In Dragon World, defeat Nappa as Tien.

Thanks to Revolution readers gilbert, Broli!