My thoughts on a wipe:
If one removes the grind element of the game, then I might like it. Be able to balance the game with no heirlooming would probably make the game better overall, and the advantages of veterans removed would be better for new players, I would guess. If it's back to scratch with level grinding and heirloom grinding again I'll lose my interest in this mod and move on to pastures new.
One of the problems with removing grind is actually people losing interest fast. If one can achieve the end (all looms, max level?) fast, then I'm sure people will play less, as there won't be any additional incentive to play.
Like it or not, I think it's safe to say that most players play because they want to level up and get new gear. (the good old leveling/gearing up formula)
I can also say that I'm not really one of those players since I play mostly for fun and it's rarely "achieving new level" or "getting new looms" that keeps me playing, but then again I'm not even playing much for the last few months - kind of confirms my theory as well?
Also awesome avatar pic Gurni, I can't stop looking at it