First of all, I adore this Cap Idea. A lot. Level 111 looks and types soooo clean, man. Also, PvP to farm for xp and loot? Pure happiness.
Secondly, I think you need to be able to strike a balance between the PvP and PvE Communities.
My thoughts on closing the gap between PvP and PvE in this cap are as follows:
Upon reaching L110 (yes, 110) you obtain an optional quest to unlock a new PvP-Centric Town and its corresponding item set. I imagine the gear from this quest being L100 Honour Equivalents, or something of the like - definitely not mythic, nor enchanted.
Completing this quest and equipping this gear allows you to enter this new 25 Person-PvP-Cap-Town. The gear should be as balanced as L100 Honour Sets (if not more)! It is not the 'endgame' gear, it is just a means of farming for it, PvP Style!
Once you enter said PvP-Centric Town you gain the ability to PvP all players in the town in some messy 25 Person FFA Battle. This town need not be full for the battle to start, simply it needs more than 1 player in it.
Upon killing a player, you have an x% chance to drop pieces of the new PvE Cap Gear/Vanities OR xp orbs if they are yet to reach L111. This gear, as Butch said, wouldn't completely overpower the L110 Mythic gear, but it would be slightly better in some areas, and worse in others (think Sewer's vs Nuri's; SSC vs Event gear; & etc). Also, this dropped gear should not be equippable in the new town.
Once there is one man standing out of the 25, they get one more x% chance at a drop. Then everyone is kicked from town, and they can enter again.
Alternatively, if PvP is not your thing, you can grind the new L111 campaign maps with a slightly higher chance at dropping the same loot you would drop in the town ordinarily. (I say slightly higher because you have more chances per minute in a 25 Person FFA than you would in a 5 Person PvE run).
Theoretically, none of this is outside of the existing engine limitations (the usual reason for things not being implemented). You can already obtain items in a PvP Environment, and you can already join multiple PvP Team's in a Town Environment.
(Perhaps there would be issues creating 25 different distinct team colours - but it's not impossible, by any means. Besides, are team colours even needed if upon entering the town you already know it's going to be every man for themselves?)
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Butch's idea could literally be what sets this game apart from every other MMO - for the second time - if and only if it is implemented correctly. This thread only scratches the surface of what could be possible if PL's PvP actually got some proper attention. It really was one of the greatest PvP Games around and it had the potential to be so much more - this could be the start of said potential. But anywho, I digress.
I'll catch y'all in the town if this ever actually happens; which I hope it does.
Peace out!
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