Recently I overclocked the hell out of my cpu and memory and found out that other characters around me started lagging, as in the gpu wasn't syncing running animations correctly; they moved as if lagging behind me.
  • It's not my connection
  • it's not an unstable overclock
  • Gsync is enabled, vsync disabled

Eventually I decided to put the physics load on the CPU instead of on the GPU. That fixed the issue. Mind you, this issue started happening before the overclock, it seemed to have been introduced in patch 5.3 (noticed it most cleanly in Puppets' Bunker). I'm not sure when XIV started using Havok tools but while Havok allows for amazing animations/physics settings, it also introduces some physics issues.

Just putting this out there as a PSA, if other players around you are moving janky try changing NVidia's physx setting to CPU instead of your Nivida card. Square enix might want to look into this as well.