This could be a game jam if enough people try it

Graphics Requirements

You must use a 1-bit color palette and a 64x64 screen.
so, a jelpi game might look like this:

Sound Requirements

I saw a jam once that had that graphics requirement, but it also had a weird memory requirement that the jam host couldn't define well. I made an ace attorney clone for it. I find that resolution is really fun for making low-res visual novels in, and the images compress pretty easily.

1-bit sounds fun!

I've been thinking about another challenge where it's the same thing but instead of 1-bit, it's 1 color per sprite

Are you looking for 3-channel music? If so, I am down. I've worked on a few pico games.