What's the point with that quite lackluster story in Endwalker?

[MikkoAkure]

That's why it's a fake utopia like pretty every other utopia in fiction. This is a recurring theme in fiction: look under the rug of any utopia and you will see its rotten core, the ancient's society is no different.

It’s intentional on the part of the writers. Amaurot, Anyder, and Hythlodeus all come the 500-year old book “Utopia” which invented the modern concept of the word using Greek “no place” and a pun on the Greek “eu-topos” for “good place”.