The place does need changes, yes.

Now, if you try to solo something that is your level and above, you already get a great amount of exp compared to killing the same thing in a party. The problem being that very few jobs have the capability of doing so reliably. The special Eureka potion, which applies a powerful regen, helps but its not enough. Not to mention it is very slow. An exp buff for soloing already exists per se, as I explained, but another buff would be nice.

The exp buff fairy moving around the map is also a good idea, I agree with this. Gives one just a little more reason to explore. They should probably add hidden chests or something because exploration in that place holds absolutely no reward.

And about the FATE zerg, I am afraid that it will remain that way for a while, as it is the best and fastest way to get things done in Eureka. If by any chance you see it slow down that spells trouble and more likely the end of Eureka's active lifespan. A slowdown to the zerg means that less people are on it because they already finished getting whatever they wanted to get. Its been a short time since Eureka went live and already people have the +2 weapon. Once they find the source of the feathers, they will farm that, upgrade the weapon to relic status and most likely leave.

No players = no FATE spawning and clearing = Eureka on deathwatch.

Personally, I enjoy the grind and the FATEs when I can participate.