I have many friends to whom the idea of roleplay and fantasy are not appealing. They just can't get into that headspace, the childlike ability to believe in and explore other worlds of the mind, other aesthetics and conflicts and questions. I believe that Magic Circle is what connects not only M* and TTRPGs but even the humble capacity to speculate creatively about our own lives, from work to love to art. I think by virtue of being here we're all pretty passionate about that!
There is, of course, a considerable difference between each of those spaces of roleplay and imagination. If rules are broken and trust is betrayed at the table, in-person, social, and interpersonal consequences and navigation is instantaneous. Generally I play TTRPGs with close personal friends, it is a small fraction of the time I spend with these people so nobody's dying on a TTRPG hill.
With dedicated roleplaying spaces, or persistent virtual architecture, we enjoy relationships that are entirely in character and held within that virtual space. Transgressions there break immersion just as much as strangeness across the table, but at the table we're snapped back to reality and it floods in. When immersion is broken in a virtual space...something is damaged.
This is all to say that I have experience with M* that run rampant with abuse and rulebreaking and each of those communities had voluminous rules on how to behave and operate for players and for staff. There will always be bad actors, but they cling to footholds in the systems that allow them to exist. Just like Mr. Bungle exploited the LAMBDA staffs inability to ban bad actors, or other power-players use systems to abuse new players.
I believe that the best way to prevent misbehavior and abuse is within the game's systems itself. Systems too bent on economics force players to prioritize the collection of money or goods while being unwilling to risk their possessions. Systems too obsessed with hard-line combat all but demand min-maxing to compete and generate what little story exists. Communities too dedicated to slice-of-life stifle story and mitigate risk to the point of stagnation.
"Balance isn't something you catch and hold."
Avoiding pitfalls is an endless back and forth.
We were speaking in person when you said Song of Avaria was "not combat oriented." When I asked you how it was, you answered: "Story."
I think that is the best possible answer. It's simple, but it's to the point. Economics, combat, slice of life, these are all -tools- for telling stories. Too much of any one ingredient overpowers, but by keeping that north star of "telling stories together" I think we can build systems of not just code, but of community that put it above any one facet of this architecture.
Focusing on systems balancing against one another already put you in a "competitive" mindset, which, if story is your goal, is already way off the mark. The trick is to get people to care just enough for the emotion to ride high, without tying that caring to some abstract notion of "success."
This is an ongoing conversation, and continuing it is, to me, a keystone of keeping that north star in our sights. So I deeply appreciate your having brought it up!