Temporary Workaround
Okay here is what I did to be able to play the demo to my hearts content.
Note: Need root access to continue
1 - Download
GameCIH apk from here
http://www.cih.com.tw/gamecih
2 - Next open the program and set up a Hotkey you will use to access the cheat app
3 - Next press home screen and open up the katamari demo but dont enter into the demo
4 - When its open sarch using GameCIH in "
input name" for the word "
timeout"
you should get a list and at the bottom should get something called "
sRestrictionCurrentLauncherTimeout: 180000"
5 - click on that value and and modify to 999999999
6 -Now enter the demo and search for a new name. This time just type "
time" you should find your first value is "
mLastGcTime" all you have to do is lock this value and you should be good to go
I was able to finish the first level and continue to the second, but once you leave and enter the demo more than twice you're locked out so this is only a temporary solution.
Hope it helps
UPDATE 1
I found two values, one called sCurrentLaunchIndex (which i will call XX) and the other is sRestrictionMaxLaunchIndex ( ill call ZZ). ZZ is automatically set to 3 and XX increases every time you enter the game. So if you enter 3 times the third time locks you out. If someone is able to change this restarted ZZ value into 99999999 permanently then we should be good to go, at least i hope so.
UPDATE 2
If you get locked out of the demo you can get back in, simply find sCurrentLaunchIndex, its value should be three but change it to 0. Now will see the demo is still locked out, but if you have a WiFi connection click Try More Games let it load the games then go back out, the demo will no longer be blocked out

you can continue the game from where you last left off, i'm already on level 3!!!
NOTE you still need to fix the timeout issue like before.
Now if you would excuse me I need to play some Katamari :3