The Replicated Man
T
Just spitballing here, but:
Make PP semi-OO, with a 50% penalty for playing outside Open.
Add a mechanism where a kill in PvP gives the attacker whatever number merits the destroyed ship was carrying, so destroying a trader carrying 500 merits actually MEANS something.
That would seem to give players the option to avoid PvP, but still be effective (albeit much less so) while giving PvP a potential positive impact rather than just being a blocking tactic.
The idea has potential, but I believe it's still avoiding the main issue.