Hey there,
- No, this feature does not have a way to be used in the BBM1. We will have a solution soon that will help in this, but for now it can only be done on the BeatBuddy itself
- Yes! There is a bug related to using 4.0.1 and using the playlists for the first time, it does corrupt the SD from being readable but some users found ways to avoid or fix the issue on the 4.0.1 thread. This issue has been fixed in the next iteration, and that will be available soon!
Here is another thread on that bug
Thanks for the questions!