What point is there to most of the 1 and 2 star characters these days ?

They're worth next to nothing to sell or sacrifice, and their combat abilities are extremely lacklustre compared to the new characters.

I mean, like, a 2 star character might have a standard attack to do magic damage to all enemies, and a power to heal an ally. Whereas new characters will do something silly like "true damage to one enemy, remove beneficial effects from enemies, heal a random ally, 50% chance to gain an extra turn, and inflict perfect crave on a random enemy if any enemy has echo" as a basic move, and something equally convoluted as their power move.

Other than some of the 1 or 2 star characters having specific buffs or debuffs that are needed for event challenges, why would you use any of them ?