If we look at Emet-Selch's account of events as told after the Qitana Ravel, and use Hythlodaeus' account to filter out his pro-Zodiark bias and gain some additional context, Hydaelyn's purpose becomes explicitly clear.
Originally Posted by Emet-Selch
Hydaelyn was created to serve as a check against Zodiark's nearly almighty power and to stop his supporters from perverting the cycle of life and death.Originally Posted by Hythlodaeus
Her ability to split and bind Zodiark stems from her elemental affinity - as we now know Light is the element of stasis and enervation, and it would be needed on the scale Hydaelyn can use to do so. According to Emet-Selch's account the finishing blow on Zodiark was so grievous it alone tore reality into the shards and Source, and unfortunately that's one bit Hythlodaeus' account doesn't give additional context to, but the conclusion I draw from the information we have is that Zodiark's whole was too great for her to bind, so Hydaelyn broke him down into pieces to do so... but because Zodiark is "the will of the Star made manifest," that did the same to the world in the process.
Further information may change or give additional context to this, but it is the clearest picture available of the origins of the Hydaelyn / Zodiark conflict. It's not vague in any way.
While I am not of the mind that Hydaelyn is the "true" will of the planet, I concur that the Ancients' heavy use of creation magicks may have been directly or indirectly responsible for the Terminus. There is a cause behind everything.