A wipe wouldn't be bad but I don't agree with getting rid of looms altogether at all.
I don't really follow the school of thought for nerfing things, it will forever be better to buff things. Instead of no loom points, increase the # of looms you receive at retirement.
That way instead of having to invest in whichever equipment is the best in order to remain competitive, u will be able to put it into what you like to use. Maybe even increase the number of times you can loom an item to 4 or 5, or implement scaled loom investment, where you can invest 20 looms in one item it will just provide nearly insignificant boosts after the 3rd.