A cool idea and it's great that a multiplayer mode was included! The physics and collisions are well handled, and the solo AI is solid enough to make the combat fun! One thing worth flagging: I think I stumbled upon a glitch where staying pressed up against the AI results in winning almost every time, so that might be worth looking into.

On a separate note, downloadable games tend to get less visibility in jams since people are often hesitant to download unknown files. I think this game could really benefit from a web export, it might be worth looking into Godot's HTML5 export option to reach a wider audience. Best of luck with the jam!