I remember back in the old version, there was some complicated way of setting up 2 on 2s and other matches like that. Was I just imagining that or is there really an option to do that?

This is how: http://forum.toribash.com/showthread.php?t=18619

So there is no way to do 2 on 2 matches online?

nope no way possible

Nothing Is Impossible, Ever.

2 vs. 2 will be released soon, Lets hope.

yeah we all want 2 vs. 2 it will be fast and fun