Hi,
You hit the nail on the head with the
"such as unbalanced game-play, pay-to-win models, and controlling Game Masters" statement.
Such thing not gonna happen, probably. You may find a bunch of friends and set up a server for the bunch of you, however a large scale project like that is likely to not happen.
People move on, new games cannot compete with SRO (unless you play it for nostalgia purposes) and people are generally trashy. The complain about the most stupid things, attempt to hack and scam you and generally have the most grotesque, eye bleaching game requirements such as wings and disgusting effects.
Players are so demanding and server owners would cater to that. It's like a symbiotic, parasitic-ish relationship.
This community has its own special kind of rotten flavor and that is not gonna change anytime soon.
They (the community/players) simply spew toxic **** at you for no reason at all, and that's simply a reflection of their real life circumstances.
Nobody in their right mind would be looking to start a fight/be mean to some online stranger if their real life had any tint of happiness. Just log in game in one of those private servers and see for yourself.
I do not wish to discourage you. I'd say go ahead and try it because that's way better than living with the regret of not having tried.
There was a similar thread some time ago, perhaps it's worth checking it out. I'm sure you'd benefit from the input of others, too.
These days I got a bunch of Discord buddies (but most of the time I play alone when I need my nostalgia fix) and we play on

to cater to my nostalgia needs.
I kinda suggest you do the same first.
Create the server you wish to see.
After all, it would be great to learn some development skills before attempting to open a server, even if such server is non-profit play2win.
If only we were united...and if we were, would we be called necromancers?