This is somewhat tangential to this thread, but one of my challenges when it comes to organic RP, world-building, and the like is the fact that so much new content has come out, and so many expansions, that it can be really challenging to sync up with other RP characters about when in the timeline they are. My Balmung FC is, from my understanding, currently at the 7.0 point of the story in the overall timeline of the world, yet my character on that server is only about 2/3rds of the way through base ARR. We've worked things out in a way that most RP events are relatively organic, but the solution most of the time is basically that MSQ has to go... kind of ignored. We're living as adventurers in the world and leveraging the world building that exists until now to essentially make our own stories and content within the world of FFXIV, that isn't to referential to the MSQ. None of us is the WOL, so any time we refer to the WOL, it's as this nameless, faceless character.
RP in general is kind of hard in a game with this robust of a story.
Regarding the ERP/intimate RP experience, I have yet to find it nearly as intrusive or ever-present as I've seen claimed. However, I recognize that anecdotal experience isn't necessarily reality, and I'm not going to disregard the claims that I've heard. In my circles, most people have been respectful and/or tasteful/private about the experience of ERP, and are fine with the fact that I have a hard-no stance, which will not change, when it comes to any intimate RP experiences.